Moral Theories and

Mental Frames of
Taxation.

Presented By:
Fidelin,Jaya
Eugenio, Meryll
 WHAT IS TAX?

TAX- Is the life blood of a country. Through

it, a nation is borne into civilization.
Taxes are indeed to ensure general welfare
such as:
 Security - Job
 Education -Protection
 Social services -Health assistance
 Tax
Taxes without good governance
and accountability is open to
abuse and corruption.
In the name of corruption, is not
much about illegality but rather ,
immorality
 Understanding tax morale is
important
Government is the one that
collects and manage tax
revenues.
Taxes are used to finance the
government’s expenditure
like services, infrastructure,
socio-economic and political
programs.
 Basis of Taxation.
1.As Necessity
- The government cannot exist and
function without means to pay for its
expenditure.
2. Reciprocal duties of protection and
support between the state and its
inhabitants.
There are two other aspects
taxes should also be viewed, its
social and moral aspects.

The concept of social- Justice

comes into play. Social justice
brings forth what is morally
required for us to do, and what
is morally expected us to be.
 TWO CENTRAL CONCEPTS THAT
DEFINE OUR MORAL
UNDERPINNINGS
1. The Morally Right action (what we
ought to do)
2. The Morally Good ( What we ought
to be)
 Morality is exemplified by our Acts and
by our character.
 These means for us to understand our
moral obligation to our society.
 TAX AS MORALE
OBLIGATION
 There are certain values and goods
which can be attained only through
“organization” such as economic
goods, cultural goods, peace and order
 To effect these common goods, an
authority is needed Legal power and
Physical power to exact obedience
from citizens in view of common
goods.
Tax as moral obligation is linked to our
understanding of the common goods as
the end of taxation.
It is always viewed that taxes are
means to flourish society but it is not
only a bad government that may hinder
this objective but also the distorted
values of an individual (Tax payer)
Taxes are believe to address
social inequalities, to insure
fair taxation there are principle
to be strictly observed such as:
Transparency.
Democracy.
Social commitments
Responsibilities.
 TAX AVOIDANCE
 Tax Avoidance- is the process whereby an
individual uses tax planning so as to apply
all exemptions and deductions provided by
tax laws to reduce taxable income.
 Tax Avoidance lowers tax bill by structuring
transactions so that the largest tax
benefits are reaped.
 It is legal and extremely wise.
 Tax Evasion
Is the illegal practice of not paying taxes,
by not reporting income, reporting
expenses not legally allowed, or by not
paying taxes owed.
Tax payer deliberately misrepresenting
the true state of their tax liability and
includes dishonest tax reporting.
 Tax Morale
Is referred to a as the
motivation of a country’s
citizens to pay taxes, in
addition to legal obligation
that comes with it.