Different levels of government provide different services that must be paid for by taxes. D is correct. We know this because the Constitution gives each level different powers: for example, the national government takes care of the army, the states issue driver's licenses, and local governments deal with the police and fire departments. They all have different responsibilities--and they each need to pay for them!
Let's check our answer--the national government has no trouble collecting taxes from everyone! (A is wrong.) The local and state governments, as noted above, need the money for themselves. (B is wrong.) And the different levels provide different services. (C is wrong.)
Answer: D. Different levels of government provide different services that must be paid for by taxes.
