Perhaps the issue isn't so much in "forcing" people, as it is in recognizing that the perceived unfairness of the tax system itself is causing systemic dysfunction.
Because taxes are perceived to be so unfairly high in certain economies, many devote significant time and effort into "innovating" around policy which is completely legal. Transfer pricing, long-term capital gains distinctions and LLC/Trust configurations, to name a few.
It makes sense to do this, because the disincentives of NOT pursuing legal tax minimization strategies are severe. You'll lose almost half your income. The more money you have, the more strategies you get--meaning they are formed in the ranks of industry leaders like Apple or Google, and eventually trickle down throughout private industry (though in the interim this only serves to widen the disparity & narrow the concentration of wealth).
This won't change unless the common psychology changes. If the tax system were more balanced and fair (a more moderate/halfway implementation of a "flat tax?") then less energy would be devoted into the legal arms race that is out-maneuvering the tax code.
Because taxes are perceived to be so unfairly high in certain economies, many devote significant time and effort into "innovating" around policy which is completely legal. Transfer pricing, long-term capital gains distinctions and LLC/Trust configurations, to name a few.
It makes sense to do this, because the disincentives of NOT pursuing legal tax minimization strategies are severe. You'll lose almost half your income. The more money you have, the more strategies you get--meaning they are formed in the ranks of industry leaders like Apple or Google, and eventually trickle down throughout private industry (though in the interim this only serves to widen the disparity & narrow the concentration of wealth).
This won't change unless the common psychology changes. If the tax system were more balanced and fair (a more moderate/halfway implementation of a "flat tax?") then less energy would be devoted into the legal arms race that is out-maneuvering the tax code.
... but obviously that's a pipe dream.