The Principle of Simplicity refers to the ideal that tax laws should be easy to understand and comply with, reducing administrative and taxpayer burdens.
When evaluating a tax system, the concept that suggests the system should be designed to facilitate the collection of tax revenues without undue hardship on the taxpayer or the government is referred to as the Principle of Simplicity. This principle indicates that tax laws should be straightforward, understandable, and easy to comply with, thereby reducing the complexity and cost of administration for governments and compliance for taxpayers. The simplicity of a tax system can encourage compliance, facilitate enforcement, and minimize the costs associated with tax collection.