The family is the great generator, and the intact family the greatest generator, of human capital (knowledge, attitudes, skills and habits of the individual), and of much financial savings and capital as well. The vast majority of small businesses (out of which eventually grow the large businesses of the nation) begin as family businesses, started on the savings of family and relatives, and on the human capital formed by parental investment in the education of children.
The principle of fairness applies to the tax treatment of the family: it should get the same deductions as business does in the tax code for similar investments in human capital. Further, per-child tax breaks are important in encouraging the birth of children not only for the solvency of Social Welfare system, but also to ensure the well formed workforce needed by modern economies. As regards married couples, stay-at-home mothers should receive the same tax treatment as mothers working outside the home – mothers at home minding their children are seriously penalized by the existing income tax regime (a policy known as tax individualization, which is anti-family).