The Solution to Government Corruption

The Problem

As a good citizen I believe in paying taxes to have my government provide services to the populace and those in need. But I loathe government waste and corruption and we see it everywhere. So, of course, I don’t want to pay taxes to enable these crooks to loot the public coughers to get rich.

How do I make sure that how my taxes are being used is accounted for.

The Solution

Government issued Crypto Currency! All government payments to everyone and every company should be issued in a crypto currency that can NEVER be converted to cash. Don’t get me wrong, it can be spent like cash, but never converted to cash (or any other form of currency that could be converted to cash), and what it is spent on must be 100% traceable.

Accountability through traceability

I’m not talking about small purchases like groceries or clothing other than to track them to the supermarket that received the funds. (Gift cards would have to be traceable)

I’m talking about big ticket items that are used to launder large amounts of money. The asset would have to be registered into the crypto.

There are detailed to work out, but the idea is clear, the way the money is spent is tracked to the seller and for assets, they are immediately registered against the currency and must forever have their asset transfer tracked by a system. This will limit finding ways to move government crypto into cash (money laundering).

Corporate Distribution

Any government service to corporations is pay with this cryptocurrency. The corporations both here and abroad must distribute this cryptocurrency as follows:

Vendors

· If they are providing service as a subcontractor on a government project, then 100% of their fees from that project are paid by crypto.

· After that, the % based on their providing services for the government through the company.

Corporate Beneficiaries

Those that benefit most from a corporation’s success should be the first to receive government crypto as payment for their “services” based on the percentage of corporate income through government service. Payments should be distributed as follows:

· Top 3 levels of executives

· Shareholders

· Employees

Personal Distribution

Who Pays

Anyone who receives any form of payment from the government should be paid in crypto. The only exception to this is for tax refunds because those will be a combination of cash and crypto (see below).

Public Sector workers, Pensions, Welfare, etc. should all be paid via cryptocurrency.

Taxes

Taxes would be paid in cryptocurrency based on the % of your income is (directly or indirectly) from the government. This may include your salary from a corporation based on the corporate distribution rules above.

Taxation of Government Accumulate Wealth

To the point.

We all hate the idea that anyone gets rich off the government. We hate even more the C level executive compensation packages, and shareholders getting rich while the working-class struggle to pay their bills.

Monitoring and Taxation

Annually, governments would review where the taxpayer generated wealth is accumulating and set thresholds that are well established and agreed to by the population.

Accumulation, not income

Let’s say, for example, that we agree no one should be able to accumulate more that 300K of government payments in a year. You may earn 500K and have loads of expenses (not assets). This keeps all government income in circulation and avoids hoarding.

But if you do accumulate more than 400K, the government would raise your taxation on that income to some large %, say 70-90%. So, if you kept 500K, then 70K of the 100 K would be taken back.

Remember, buying an expensive asset does not hide the accumulation of wealth.

In Canada, your primary home is non-taxable but paying off your home is increasing your asset accumulation and would be part of the formula.

Gross accumulation

Consider a lifetime accumulation of government income as well. Anyone accumulating more that 5MM (for example) of assets from government income would be receive a wealth tax on the excess.

How is the money spent?

Knowing where money is spent would be valuable in determining what goods and services provide the most value to various people at different income levels.

This would allow better focus on taxation allocation and service delivery, determining where best to support those in the greatest need.

Economic Value

A big plus to this would be an accountable trusted source of data for determining how much of the economic value of a country is through the government.

More to consider

Clearly this is a half-baked idea that would require considerable analysis to ensure that those working for the government and those living off government benefits don’t become incentivized to leave the country or become demoralized from government oversight.

Know that this is not about that population but rather the price that must be paid to root out government corruption and greed from the politicians, corporations and their executives that get fat off the government coughers.