Heh, special tax favors hardly deprive government. As I've been pointing out, they are actually powerful mechanisms of control, affording government the power to manipulate us in ways that would blatantly unconstitutional if attempted as straightforward legislation.I'm actually raising a related, but different issue - whether it's good government to hand out these special exemptions in the first place, whatever the justification. I don't think it is, for the reasons I've stated.
I can respect that opinion...an across the board cessation of tax exempt status.
I'd have to seriously consider all the ramifications of such a position...but, at first blush, the glaring consequence would be, without tax exempt status, charitable gifts would not be tax deductible.
That would likely lead to a reduction of charitable giving...and that would lead to expansion of government programs to make up the shortfall...which would invariably lead to even high taxes.
Better IMO to deprive government, and leave the exemption in place.
Your justifying the exemption with several questionable assumptions, each based on the premise of the welfare/warfare state - a premise which inevitably implies totalitarian government.