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The government spends either money that it has collected in taxes or has borrowed against the future collection of taxes. So taxes are the ultimate source of all government spending. Where do people get the money to pay taxes? From money that the government creates when it spends, and that banks create when they lend (by levering the value of their government bonds). Federal spending, borrowing, and taxing are part of a cycle. Take away one part of the cycle and the whole system breaks down. Taxes are not theft. We pay taxes with money that came from the government. Tax avoidance hurts everyone.

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