If we must have personal income tax...

Australia's one million employers collect income tax payable by fewer than 12 million employees. One collection point for every 12 taxpayers, without allowing for employees with multiple part-time jobs, is not much of an economy of scale. Nor is it an economy of specialization. Employers collect tax, not because they are competent to do so, but because the government won't let them do business unless they also collect tax — even if that requirement renders their business unviable....

Read the full article at MacroBusiness. P.S.: See also Maximalist ‘fiscal devaluations’ for Greece and Australia.