The government is not ethical.
The only way to make everyone compliant is to reduce taxes to a flat tax.
Everyone pays the same amount and they pay it as a consumption tax.

Loopholes are not loopholes. They are merely more regulations that tend to favor one party over another. This is what turns Capitalist into Crony Capitalist and makes people think Capitalism is a dirty deal.

In actuality when capitalism is corrupted by Cronyism, it is no longer capitalism but I would contend it is a form of Socialism.

A Progressive tax is an unfair tax that both penalizes success and retards it while making people and corporations looking for a way to stay in a lower tier.

So in the end a Progressive Tax policy is what is actually unethical.

Just my two STEEMS Worth.