THE CHRISTIAN CITIZEN – 2 by Pastor Shah, Clearview, Henderson
This morning is our second message in our miniseries through Romans 13, titled, “The Christian Citizen.” Sadly, most Americans are ignorant and naïve on matters concerning government, politics, and economy. More sadly, these subjects are never addressed from the pulpit. But praise God – the Word of God does address all these issues.
Rom 13:1-5 6 For because of this you also pay taxes, for they are God’s ministers attending continually to this very thing. 7 Render therefore to all their due: taxes to whom taxes are due, customs to whom customs, fear to whom fear, honor to whom honor.
Overall Background: In the passage we just read, Paul is instructing the church in Roman and all of us on taxes. You’ve heard that adage – “There are 2 things in life you can count on: Death and Taxes.” If I may add – At least death comes only once but taxes come every year! And, guess what – Its tax time! The Bible has a lot to say on this subject. It not only teaches us spiritual wisdom but also daily wisdom. It not only inspires us to keep our eyes on the heavenly city but also instructs us on how to live in the earthly city. It not only teaches us to how to organize the House of God but also instructs us on how to organize our government and politics. If we would only turn to the Bible – The Manufacturer’s Instructional Manual – we would be so much better off. So this morning we will drop anchor at Romans 13:6-7 but also catch some important principles on this subject from throughout Scripture.
With that said, there are two questions we will answer in this message:
I. WHY DO WE PAY TAXES?
Listen to verse 6 “For because of this you also pay taxes, Because of what “this” do we pay taxes? The answer to that is given in the previous verses.
#1.The rulers protect us against foreign and domestic threats. Romans 13:3 “For rulers are not a terror to good works, but to evil.” Our rulers should put fear in the hearts of those who seek to do us harm. They are there to punish those who infringe upon our life, liberty, and property, and gain restitution for the victims. Let me add – there is more to protection than just physical harm. They’re also there to protect and take care of those who are really in need. They’re also there to oversee environment protection, patent protection, product safety, fair business transactions, transportation systems, and other interests that protect and enhance our standard of living. Hence we pay them taxes to be our protectors in all this.
#2.They are there to praise those who do good. Romans 13:3 says, “Do what is good, and you will have praise from the same.” The rulers should reward the honest, hardworking, and good people. Hence we pay taxes to them.
Our Declaration of Independence clearly states: “That to secure these rights, Governments are instituted among Men, deriving their just Powers from the consent of the governed.”
Let me clarify: It’s not the government’s job to create jobs. (Check out my article on this subject titled – “CREATING JOBS IS TOP PRIORITY” – ANOTHER POLITICAL JARGON.” “Employers create jobs not Government. When there is a demand for a product, employers put up a “now hiring” sign. This is backwards with the Government-created jobs program. It puts up a “now hiring” sign and then looks for some artificial demand to justify it. Recently, there has been growing talks of targeted stimulus towards infrastructure repairs, clean energy, and education. Where will the Government find money to pay these new employees? Unlike the private sector employer who withdraws from his savings to pay his employees, the Government digs into our wallet when it is time to write the paycheck. When the money runs out, the only available option is to raise the taxes on the “rich” (a.k.a. the private sector employers). What is the natural recourse for these employers? Cut backs. In the final analysis, the Government destroys jobs rather than creates them. Furthermore, Government-created jobs have no clear accountability or bottom line. Projects can drag on for decades with an endless supply of taxpayer dollars.”
As Reagan remarked on several occasions, “The most dangerous words in the English language were: ‘Hi, I’m from the Government and I’m here to help.”
II. HOW MUCH TAXES SHOULD WE PAY?
7 Render therefore to all their due: taxes to whom taxes are due, customs to whom customs, fear to whom fear, honor to whom honor.
So how much taxes are due? Here are some key questions (See Politics According to the Bible by Wayne Grudem):
1. Should we lower taxes or raise taxes? Think about Bill who earned $80,000 and has to pay 25% in taxes. That’s about $20,000 in taxes. Now if the tax rate is lowered to 20%, then he has to pay only $16,000 in taxes. What’s he going to do with the $4000 extra dollars? Bill can go on a vacation and pay for gas, hotel room, and food. Or, he can use that money to start another business. Next year Bill could be earning $110,000. If he continues to pay 20% taxes, then he owes $22,000 in taxes. That’s $2000 more to the government than last year. He may even hire Mike to be his assistant and have to pay him. Now another person has a job. Overall, it’s a win-win situation for everyone.
What would happen if we raise Bill’s taxes to 30% instead? Now he has to pay $24000 in taxes. That’s $4000 less dollars to spend. Do you think Bill will go on a vacation? Of course not. Do you think Bill will invest money or try to hang on to it? Hang on to it. Do you think he will worker harder at his job? Why should he? After all, Uncle Sam is going to take more money from him!
2. Do the rich pay their fair share? (From my article “CORPORATE JET OWNERS – SWATTING POLITICAL JARGON” in 2011) “According to the SOI (Statistics of Income) tax stats available on the IRS website, the top one percent of the wealthiest Americans paid 38.02 percent of the total income tax. If you still think that it’s not enough, here is one statistic that will blow your mind. The top 50 percent of the taxpayers pay 97% of the total income tax. This means that half of all Americans pay only 3% of the revenue! Do we still think that these wealthy “fat cats” are not paying their fair share? In fact, they are the small business owners who are the heart of American business. Seems to me that they are being penalized enough already.
…We need to stop thinking of economy as a zero sum game. This idea assumes that the economy is a fixed pie where the rich get richer at the expense of the poor. Think of a hard working and law-abiding farmer. He sweats all day under the hot sun. He hires laborers and pays them their fair wages. After the harvest, he sells his produce and gains a profit. Who did he rob? Or, how about the athlete who works hard and stays clean? Who did he rob to get that contract? Or, that talented girl who makes it big in the music industry through hard work and focus. Who did she rob?”
As long as you legally earn what you have, you should be allowed to enjoy the wealth.
Luke 19: 16-19 16 Then came the first, saying, “Master, your mina has earned ten minas.’ 17 And he said to him, “Well done, good servant; because you were faithful in a very little, have authority over ten cities.’ 18 And the second came, saying, “Master, your mina has earned five minas.’ 19 Likewise he said to him, “You also be over five cities.’
3. Isn’t it better to raise taxes on corporations? Think for a moment – if you raise taxes on corporations, what are they going to do? They will raise the prices of their goods and services. If corporate tax goes up by 5%, the cost of products goes up by 5%. What’s more? The marginal corporate tax rate in America is 35%. Many of the Asian countries and European countries are dropping the rate so they can attract more companies overseas. We are loosing American jobs as one company after another closes to move overseas. We need more foreign investment here.
4. Is it fair to have a progressive tax rate? This means that the higher you earn, the higher your tax rate. Let me clarify – this does not mean that if you make $10000 at 25%, you’ll pay $2500 and if you make $100000 at 25%, you’ll pay $25000. That would be nice! The more you climb the tax bracket, the higher your tax rate becomes. As a single person, if your income is not over $9,075, then 10% of the taxable income. If its over $9,075 but less than $36,900, then 10% on the $9,075 and then 15% over the excess. Then the rates keep climbing. Now if you get exemptions at lower levels of income, you may end up not paying any but getting more back in refund. How about for those on the higher level? They only end up paying more.
How was it in the Old Testament? 10% of their income to the Lord and then census tax of half a shekel.
5. Are there other taxes? Yes! Capital Gains tax – tax on the increased value of something purchased as an investment – rental property. If a person is already paying income tax, should they also pay this? No. How about Death or Estate Tax – tax on a person’s estate after the person dies. Did not the person pay taxes while living? Then why should they be taxed again?
6. Should everyone who earns have to pay? Yes. How about people who make very little and are trying to survive. Of course, provisions should be made for them. Jesus’ parents brought two young pigeons to be sacrificed. Why not a lamb? Because in Leviticus 12:8 it said, “And if she is not able to bring a lamb, then she may bring two turtledoves or two young pigeons—one as a burnt offering and the other as a sin offering. So the priest shall make atonement for her, and she will be clean.’ ”
It makes a difference when each American feels responsible for our nation.
Conclusion: It may seem – There’s no way people in America will ever see all this. Here’s how they can:
1. We begin to change.
2. We begin to take a stand.
3. We give God the best. Matthew 22:15-22 15 Then the Pharisees went and plotted how they might entangle Him in His talk. 16And they sent to Him their disciples with the Herodians, saying, “Teacher, we know that You are true, and teach the way of God in truth; nor do You care about anyone, for You do not regard the person of men. 17 Tell us, therefore, what do You think? Is it lawful to pay taxes to Caesar, or not?” 18 But Jesus perceived their wickedness, and said, “Why do you test Me, you hypocrites? 19 Show Me the tax money.” So they brought Him a denarius. 20 And He said to them, “Whose image and inscription is this?” 21 They said to Him, “Caesar’s.” And He said to them, “Render therefore to Caesar the things that are Caesar’s, and to God the things that are God’s.” 22 When they had heard these words, they marveled, and left Him and went their way.
4. We reach people with the gospel – the only way to have a good and honest and just and hardworking citizen is by leading him/her to a saving knowledge of Jesus Christ.