Huh?
Do you think that the Bitcoin just is sent to a burn address because it is a road or healthcare? 😂
The state or whomever would collect the Bitcoin, and spend it.
By spending it, they are paying direct employees, contractors, road builders, doctors, hospitals, asphalt companies, and on and on.
They now have redistributed the taxed Bitcoin to new people in different amounts. They then buy homes, food, etc .
Listen, I am not arguing this is an effective use of capital or that socialist programs are good or in any way better than free markets.
But sound money absolutely allows for socialist programs, IF the people agree to share and spend and redistribute.