First Quarter 2019 | Our tax systems, I’m referring primarily to federal and state income taxes, have gotten ever more complex and will likely continue that track. This is, in part, due to the social choice on taxes, which is to provide incentives for behaviors that are deemed desirable, and disincentives for behaviors that are deemed less desirable. Taxes are also based on the notion of raising revenue, to the extent possible, to fund government operations. History shows that, ironically, there are levels of taxation where increased tax rates reduce government receipts and reduced tax rates increase them. Who knew?