To do this we have to change our view of economics, politics and taxation. We start with taxation:

We have been brought up believing that Income Tax is when we pay our taxes, but this is not true.

Every country comprises three segments a community, a government sector and a business sector.

People draw their income in the form of salaries and wages from the business sector or government. And from that income they pay various taxes including income tax, rates, licences etc. so that effectively those taxes are included in the cost of the business or government. The government then levies taxes other than those collected from the people on the business sector so that effectively all taxes end up in the business sector and are included in the costs of the businesses.  

The business sector will sell to other businesses and governments but the end product of all business is the supply of goods and services to consumers. The end result is that the consumers are paying all the taxes in the prices that they pay for their goods and services.

Generally the consumers are earning their income to pay for their goods and services from the business sector and government. This is how the economy really works and because the greatest consumption comes from the poor it is the poor who will be absorbing the taxes of the rich. Appreciate that Governments cannot tax the rich to help the poor.

Now comes the realisation that the people of the community should (a) work for a living and (b) the higher the standard of living the greater will be the business turnover and the government income. Both the Government and the business sector will realise the value of working towards that end. Further should be the realisation that our present tax systems and politics are not conducive to good governance.

Now consider the Centreline System of Government which advocates reducing the cost of employment, cost of Government and business costs to become competitive in the international market place by removing the taxes with the exception of VAT.  Health and Education are free to keep employment costs down and ensure that imports contribute equally to the tax burden. Find this at

It is recognised that most countries cannot be self sufficient but by the same token maximum tax will come from the manufacture and consumption of products and services in the same country and countries therefore should become as self sufficient as possible. Imports have to be balanced off with exports and in the longer term governments have to accept that they balance their books or exporting countries will take over the importing countries economically.

It has been accepted that places like China and others in Asia have allowed the exploitation of their cheap labour to manufacture goods for export to Western countries but it has not been realised that those countries have been losing jobs as a result and those markets will shrink as jobs diminish.  They cannot sustain their economies under these circumstances and so they have to change and the Asian countries must develop their internal markets as well.

I trust that Governments and businessmen will now appreciate where their taxes and profits come from and what needs to happen for them to sustain their economies and independence.