...about the myth of tax cuts and who actually benefits from them:
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The Taxation Myth
Why Taxes?
To begin with it is worth looking at why we have taxes in the first place. Taxes are levied by the government in order to raise revenue for the state. The vast bulk of state revenue comes from taxation or borrowing, and as the complexity and functions of the state machine has grown enormously throughout the history of capitalism, so has the tax burden.
The state originally arose out of the division of society into classes. See (Two Class Society) for our definition of 'capitalist class' and 'working class.' It is controlled by the capitalist class and their political representatives who need to levy tax to pay for the police, the armed forces, civil service, the 'education' system and so on. The various functions of the state machine are necessary if the capitalist class are to maintain their privileged position in society, and, of course, these functions have to be paid for by somebody.
Who Really Pays Tax
Of course, the capitalists present an image of the state as a 'neutral' agency standing above society, before which all are equal, and to which all contribute; state revenue is the 'public purse', which we all have to support through taxation. Our argument is that although some taxes are paid by the working class, the burden of taxation rests on the capitalists and has to be paid out of the profit accruing to them in the form of rent, interest and profit, the basis of which is the unpaid labour of the working class (Where Profits Come From) .
Wages are the price of labour power - that is, the price received by workers selling their mental and physical energies to an employer. Labour power is a commodity like so many other things in capitalist society and its price is governed by the type of factors governing the prices of other commodities - principally the amount needed to produce and reproduce it. In the case of labour power, this includes clothing, housing, food, entertainment and the like. On average, wages are enough to keep us fit to work in the type of employment we have been trained for and are working in and it is around this level that market forces, helped by trade union action, tend to establish wage rates.
<More>
<link>
http://www.worldsocialism.org/wsm-pages/tax.html