Re: There is another way to harmonise NI rates for employed / self-employed
"It's almost as if the government have to pay for stuff, rather than just taking money away from you out of spite."
No, it's not out of spite, but neither is it just about paying for stuff, which implies that all the stuff paid for is needed. What it's really about is spending taxation money.
The simple explanation of the idea behind taxation is that the government needs to collect money from all to pay for things used by all. The problem with this simplistic explanation is that it stops at the point where the taxation money is spent, almost as though the spent money no longer existed. Obviously, this is not the case; the spent money has just changed hands and now belongs to someone else.
What happens is this:
1. Government receives money in the form of taxation from everyone.
2. Government spends taxation money.
3. Someone receives taxation money spent by government.
4. That someone pays some of that received taxation money back to government as tax.
5. Go to 1.
So we have an unclosed money loop, with a constant stream of money from everyone going in, circling round the loop, but eventually ending up in the hands of a relatively small proportion of people.
The primary role/purpose of government has never really been about the management and administration of society for its own benefit but about the preservation of the concentration of wealth; the management and administration of society is needed to maintain the taxation system, for without it no one would pay any taxes.