I always think of taxes as a burden, like paying rent on everything I own. Sometimes taxes make me feel like I don't even own what I own--as I am paying taxes/rent on all of it to the government.

But Xie Xuren, director of China's tax administration, believes that proper management of taxes can improve not only business, but innovativeness and moral strength in youth.

There are some things that he writes that I completely agree with. By changing (I imagine increasing) taxes on resource intensive, high polluting companies, these companies will be encouraged to change. That is definitely a good thing. Other changes will be welcome, like revised individual income taxes, and other adjustments that will hopefully make taxes less of a burden.

But taxes being of benefit to society and standard of living (besides paying for basics like roads, sewage, safety, and other government costs) is an idea that hasn't really entered my mind. Xie seems to believe that a wise application of taxes can improve the gap between the richer and richer urbanites and the poorer and poorer farmers of China. To be honest, I've never really heard of many rich farmers, and I don't really understand how lower taxes will make a huge impact on the lives of people as lower taxes won't really raise their already very low base income. I think what they really need is help in getting education, better schools, etc.

But, then again, isn't that exactly what wise tax law will be? I think Xie should give tax incentives, large ones, to encourage schooling in rural areas. Perhaps large tax rebates on tuiton payments or something of the sort.

I can see a lot of good coming out of "taxes for the people." I hope Xie designs the tax laws in a way that really betters those that need it.

Link: http://english.sina.com/business/1/2006/0108/60959.html