The Decentralist Papers · Paper VII of XX
Taxation Transformed
You Keep 90%. That's It.
The current tax code is 75,000+ pages. It requires professionals to navigate. It’s designed to be complex so loopholes can be hidden.
Decentralist taxation:
10% Tithe:
- Goes to your community: church, local charity, community organizations
- Stays local - you can see where it goes
- Organizations that know who actually needs help
- Accountability because it’s your neighbor, not a bureaucrat
- This is the ONLY thing that leaves your hands from your earnings
10% Savings:
- Goes to YOUR OWN savings account
- This is still YOUR money
- Forced wealth-building (like Social Security was supposed to be)
- You own it - it’s yours forever
- Retirement with dignity, not dependency
You keep 90% of what you earn. 80% liquid. 10% in your savings.
The only thing you “give away” is 10% tithe to your local community.
What funds the federal government?
Not your income. Never your income.
The 1776 Tariff: 17.76%
- Flat tariff on ALL imports
- No carve-outs, no exceptions, no lobbyist deals
- One rate everyone knows: 17.76%
- Memorable and simple
- Encourages domestic manufacturing
- Paid at the border, not out of your paycheck. Some of it will show up in prices; that is the trade for no income tax.
Consumption Tax: ~10%
- National sales tax on purchases
- You choose when to pay by choosing when to buy
- Buy less, pay less
- Doesn’t punish earning or saving
- Simple: one rate at point of purchase
The Complete Tax Structure:
| What | Rate | Who Gets It |
|---|---|---|
| Tithe | 10% | Local community (church, charity) |
| Savings | 10% | YOU (your account) |
| Take-home | 80% | YOU (liquid) |
| Consumption | ~10% | Federal (when you buy) |
| Tariff | 17.76% | Federal (on imports) |
What this eliminates:
- Federal income tax (gone)
- Capital gains tax (gone)
- Estate tax (gone)
- Corporate income tax (gone)
- The IRS as we know it (gone)
- 75,000 pages of tax code (gone)
- Billions in compliance costs (gone)
- The federal government as the provider of welfare (gone)
Communities take care of their own. Churches and local organizations know who needs help. Washington doesn’t.
Work more? Keep more. Save more? Keep more. Buy more? Pay more.
Incentives finally aligned.