High direct taxes discourage foreign capital investments.

High direct taxes reduce  on  capital available  for plough  back.

In most LDCs due to  low income and low taxable capacity, direct taxes can't be relied upon.

Heavy direct taxes act as a disincentive to local investments and therefore discourage enterprise.

High direct taxes discourage savings in an economy.

Direct taxes tend to be discriminate e.g. foreigners may not pay compared to indirect taxes.

High direct taxes may encourage tax evasion.

At ties the system  of assessment  is unfair as it is hard to determine  with certainty  peoples taxable  capacities.

Where the majority of the  employees are not under  one employer as it the case  in most rural areas, the costs of collection and administration involved are high.

Heavy direct taxes discourage hard work and efficiency among workers.

High direct taxes tend to be  politically resented.