Taxes are a necessary evil. We must fund things in society like defense, infrastructure, justice and more. While I think we can all agree that our government at all levels wastes far too much money on things we don't need or want, we often get wrapped up in tax structure.
If we put more focus on spending, the tax collection issue wouldn't be so important but that's a different discussion.
So on to collection of taxes in a fair society.
There are three primary methods that we tend to use in society for tax collection. Income tax. Sales tax. Property tax. While there are certainly other methods, these are the three we use most often in western society.
The method we should use in my opinion:
The citizen funds the state through sales taxes. The state funds the federal government and the local government from this pool. No state spending is transferred from the federal government. It's our money, not federal money. We should not be begging for our own money back, having to jump through the hoops the feds define for us.
One tax on one source that doesn't mandate the collection of private citizen information. Doesn't result in the eviction of a citizen from property he/she owns. Doesn't result in penalizing a person for having a job. Doesn't reward people that work off of the books to avoid taxes. Doesn't reward illegals. Keeps the federal government dependent on the states rather than the states dependent on the feds.