If taxes are never any more onerous than what the poorest members of society can easily afford, this will encourage the State (and the Church) to provide services that truly raise the standard of living for the society.
But once an affordable tax is determined -- and bear in mind I am recommending an averaged 7.5% aggregate for federal, state AND local -- you can't have ANY exemptions. If you have people that are excused from paying taxes, yet receive government services, that is not fair to the rest of society. Also, when people receive free government services their demand for more services is endless. This is why the federal government is now so bloated. Endless demands for welfare and special privileges are being demanded -- and voted in -- by 50% of the population. This is democracy in action: voters at the public trough.
Because we have failed to heed the advice of the Founders, we have exempted about 50% of the people from taxes at the federal level.(1) Thus the only way these government services can thus get paid is with high tax rates on the middle class and rich.
THUS, THE SOLUTION TO THIS DILEMMA IS THE FEDERAL GOVERNMENT MUST BE SHRUNK TO A SIZE THAT IS AFFORDABLE BY THE TAXES STIPULATED IN THE CONSTITUTION
This would be whatever size government 7.5% of WE THE PEOPLE's money will buy with duties, imposts and excises.
As one can quickly see, the Founders were quite serious about limited government. A government that operates on 7.5% is a tiny government. But that's good. Bear in mind that whatever money the government doesn't absorb for its uses is money available for YOUR uses. You have to look at government as a parasite vying for YOUR resources. It's like a huge tick sitting there on your arm sucking blood. It just sucks and sucks and sucks. And it gets bigger and bigger. And as it gets bigger it spends more and more money on "security." NOT YOUR SECURITY. It just SAYS it's for YOUR security. It's really for ITS security, because the people that are on the government payrolls, directly and through the K-Street revolving door, KNOW that you are going to come after them sooner or later. They just know it. They KNOW they're doing something wrong. They know they're stealing through rampant over-taxation. They know they are violating the Constitution so their attitude is: "I'm going to get everything I can, exit that revolving door, and build a fortress complete with electric gates and neighborhood patrols and let them just try and get me."
And if you don't believe the statists subconsciously have these feelings, look at how they fawn and worship their own. Look at all the fuss they made over someone who was shot, just because she's a senator.
Regular citizens get shot every day. WE THE PEOPLE get shot every day. Who cares? To the state-infested media it's just a "news story." But who's really more important, WE THE PEOPLE or WE THE SENATORS?