I've never liked the idea that we would devolve into chaos if our government wasn't there keeping us all in line. It assumes that a) there are some people who know what is best for all of us and b) that we're effectively signing up to live as animals in a zoo.
Don't get me wrong this isn't some anarchist dream, I don't want to find out what happens without a government. But I can't sign up for the idea that a government and its taxes are a fundamental requirement for any form of civilized society.
But that's not how the world works, and you will often deal with people from which you cannot know how trustworthy they are. Nothing stops a gang of thugs from outside to come steal and kill without repercussions.
There's some good research being done in regards to prisons in Calofirnia. And how an increase in prisoners has cause a massive deterioration in social conduct.
Maybe the question doesn't matter now that this is where we're at, but at best I think it's be safe to say government taxes are necessary for the civilized society we have today.
We are not aware of non-hypothetical long-term widespread high standard of living completely non-capitalist societies (yes, that's a bunch of qualifiers), but there is certainly a range of taxation, legal and social policies that work to varying degrees of success.