The Tax Haven

Texas is a state in itself that boasts many such reasons to live here, everyday Texas accepts loads of people pouring in from different states looking for a home. Texas provides that home, being truly the land of opportunity for many. Taxation is a way for the government to regulate the flow of money, and make sure that this money is spent well for the society. We have Federal income tax, sales tax, value added tax, business tax and in some states local and state income tax. Luckily Texas is one of those states that doesn't charge state income tax. Is that something that should implemented in Texas? People would be crazy to suggest such a thing I believe. There are already so many taxes that one incurs, then why would states want its civilians to endure the pain of state income tax. Well it can be argues that other states are implementing it so why can’t Texas? That leads to analysis of why exactly Texas should stay at their decision of not choosing to collect state income tax.

Further research upon this subject can prove that Texas has definitely grown in population size over the years. The reason we can see is definitely to the fact that there are more jobs that are available. Jobs are perhaps accepted in Texas as compared to other states such as Illinois because of its high income state taxes. People prefer to be in a state where they have more of their income to spend and save. We can certainly attribute the size of the state to other factors but we also need to recognize that money and savings are big factor for the society as a large. When federal income taxes are deducted, there should be no need to deduct further taxation. Therefore I believe that in order to keep the job market increasing Texas has made the right decision in not implementing state taxes.

                Another reasoning that can be derived from the previous point is that more jobs lead to growth of the state and the economy. Growth of an economy and state means that the society that people live in will prosper because of this initiative. Not imposing state income tax will make it possible for more money to go around. This can also be seen as a way to reduce cost on things that the government does not need to spend on. Therefore the circulation of that money will promote growth in the state. Many people can argue that the money can be used to fix roads, or build hospitals or to utilize for government paid jobs. However this can be contested with the fact that other taxes already compensate for that spending. Texas generously covers its costs in property taxes as well, thus eliminating the need for state and local taxes.

Lastly it can be said that the act of eliminating state taxes is beneficial for the society in which it lowers debt levels. When people have more money in their hands, they can naturally put it into savings and spend more. This ties into the factor that there will be economic growth, and therefore leading to a state that will prosper. States with higher income taxes often face higher debt levels because of the fact that a person full income is so unfairly reduced that it leaves them with nothing by the end of the year. Thus in this context, Texas is doing a great job in not imposing state income tax and keeping its debt level at a minimum.

                I strongly believe that Texas should continue not imposing these state income taxes for the benefit of its people. This in turn will increase jobs, promote economic growth and lower debt burdens. In this way Texas is helping its people live a happy, safe and secure life.  The question therein lies in the hands of the people? What do the people of Texas want?