An enlightening story from commenter Minnfidel over at the AoSHQ, that explains the economics of taxation:

“Let me tell you a story about a 2X4 that went into a home. The land that grew the wood is taxed, The seedling the farmer bought was taxed. The equipment he used to plant and maintain the tree is taxed. The farmer was taxed when he sold the timber. The mill paid tax on the truck and gas just to get it there. Then the mill paid tax on the machines used to process the wood. They pay taxes for the mill itself. The workers who work at the mill had their wages taxed. Then the mill was taxed when they sold the lumber. The lumber yard paid tax on the truck and fuel tax to get it to the stores. The store pays tax on their store, the employees etc. They then sell the lumber, they are taxed on that. Now your contractor buys the wood. He’s taxed on it via sales tax. He paid sales tax on all his equipment being used to build the home to cut the wood and nail it in place. His employees pay tax on their wages while building the home. The land the home is on is taxed. The contractor now sells someone the home. The profit is taxed. Now the consumer buys the home. Taxed again, the 2×4 that was taxed so many times is now in the wall of the home where the owner will pay property taxes as long as he owns the home. He will do so by paying with money made at his job, which of course is taxed as well. And we’re not taxed enough?”