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Why does the government need taxes? Answer: The government needs tax because it needs money to pay for hospitals,schools,and community service. In order for the people to have those services, they contribute to â¦ the fund. tax goes towards government spending on public services such as: healthcare, education, public transport etc...
Answer Wiki. I'm not sure they like to collect tax... so much as that is what they need to do to function. Unless you live in a despotic monarchy, or some hyper-corrupt government country, governments are not collecting tax just to put it in a vault and swim in it.