Comic Strips

They do give you interest, but it's not as good as you can get from investing it elsewhere. And if you owe student loans, they can yoink your return before you were otherwise going to pay the debt.

In the Norwegian tax system, if you pay too much taxes trough the year from your paycheck, you get interest on the amount you paid to much. Likewise, if you pay too little taxes throughout the year, you will have to pay interest on the amount you have yet to pay. So the system is supposed to be balanced in that regard. The interest is on the level of a savings account (3.51% annual atm), so you could make an argument that saving that in a index stock or good bond is a better ROI though, so still recommended to try to not pay too much during the year.

I actually wish I could do this in Australia, for the reasons you mention (from a self-interested point of view).

I'm glad tax witholding is mandatory here though, because the government has to pay for stuff throughout the year, on services which we all benefit.

And it reduces the number of people who have illogical emotional reactions on having to pay taxes. (Much less resistance when you get a touch back, than have to pay more)

We do also pay taxes for stupid shit, like our tribute of $300 B AUD to the US for submarines. But alas, such is government spending. We can't all agree what's actually good.

I look at it like a non-voluntary piggy bank. I set the amount I'm going to withhold from every pay check, and anything over, gets given back. Sure it's interest free but if you look at an actual bank, interest rates on that money sitting in a savings account is pennies. And if you're someone who is bad at not spending your money, having it held for you with no real way to withdraw it is helpful when budgeting.

Besides, it's easy to over pay, it's pretty difficult for most people to net zero on tax payments without ending up owing money. And the amount you owe, could be something you hadn't budgeted for. I owe $450 this year. I don't really know where I'm getting that money. Most people will be less happy owing money than over paying and getting a refund.

Bracketed income tax is a thing for a reason, and it is a good reason.

more income == more tax.

If I'm making less than $20k/year, there's no reason to give a shit about my taxes, just let me live yo.

If I'm making $200k+/year, then we have a conversation on our hands.

If I'm making 2,000k+/year, then we have a problem and the conversation should have have been completed by now.

edit:

exact numbers are not relevant. if you have a functioning brain, then you know what I mean.

They do deduct taxes from your paycheck. Basically once a year, you have to true up and figure the exact amount you should have paid. If that's less than what was withheld, you get a refund.

It is taken from the payslip. But then they have us verify what they already know and if you make a mistake you're punished for it! It's bullshit.

I want so bad for the US to do it the way every sane country does it; they just send me a thing so I can make sure they're accurate and only need to take action if they fuck up.

Income tax always struck me as a deliberate way to make your average joe hate taxes when they could, very easily, be calculated at time of payroll without you ever being shown the “pre tax” amount.

When I was in China as a kid I never saw any visible form of "taxes". I also never heard of any income taxes. I have no idea how the tax thing works, but I'm assuming they just tax the corporations, which solves both the sales tax and the income tax at once.

(Guangzhou, PRC. Other cities might work differently I have no idea tho)