Tax Evasion

In this alternate timeline, the term "tax evasion" does not exist, as governments do not collect taxes from their citizens. Instead, societies rely on voluntary donations, reciprocity, and a gift economy in order to provide for public services and maintain government functions.

The shift to a voluntary contribution-based model occurred during the Late 19th century, when scholars and political leaders began to question the legitimacy and fairness of taxation and started to explore alternative methods of funding public services.

Many factors influenced people's willingness to donate to their society, including:

• Education levels and understanding of the power of collective action
• Social cohesion and trust among community members
• The availability of resources and opportunities for economic development
• Shared values and beliefs about social responsibility
• A sense of civic duty and moral obligation to contribute to society

While there was no legal penalty for failure to donate, those who did not contribute faced significant social stigma and ostracism. Those who lived conspicuously wealthy lifestyles while not contributing to society were often openly shunned or ridiculed, as their behavior was seen as actively harming the common good.

The impact of this approach has been significant:

• Tax evasion, which causes significant loss of government revenue and exacerbates income inequality in the real world, does not exist in this society
• People are motivated to contribute to society by altruism and personal values rather than fear of punishment, leading to a more cooperative and harmonious society
• Overall economic inequality has been reduced, as people are more likely to share wealth and resources when they have a sense of social duty

However, there are potential drawbacks to this alternative arrangement:

• There may be less funding available for infrastructure projects or public goods that benefit society as a whole (e.g., schools and hospitals)
• The voluntary model may not work as well in societies with vast differences in wealth or where the value of cooperation is not widely understood

Despite these concerns, this society has made significant strides to ensure that all members contribute to the greater good, avoiding the harmful consequences of tax evasion prevalent in many real-world societies.