The social impacts of federal largesse are seen every day in neighborhoods where welfare has replaced work. Any law-abiding, decent person who lives in a poorer neighborhood "has skin in the game," because the government's poverty subsidies make their neighborhoods hell on Earth. Those neighborhoods are deadly (both physically and mentally), and difficult to escape, and it's instructive that most government programs for the poor are designed to keep them poor and dependent. This corrupts our politics and changes our government from a servant of the people into our master.
The creation of permanent class of tax-receivers empowers the governing elite at the expense of the rest of us. This changes the debate on the proper functions of government, to include its limits, into a zero-sum game of gimme gimme gimme. Those who pay the most are told that they are selfish if they object, while those who pay nothing are told that they are entitled to "get something back." Liberals who argue that taxing the most productive to support the least productive know that this robbing of Peter to pay Paul may not sit well with Peter, but the real impact is that it sure guarantees Paul's vote, and once a significant segment of the population chooses to expropriate wealth instead of earning it, then the longterm prognosis for the health of that population is wretched. Think Rome, circa 350-500 AD.
Our tax code isn't simply about numbers, it's about how people are forced into groups and put at each others' throats by the conflicts that it creates. That's something that every American has a right to object to, no matter how much he puts down on the 1040.