I don't really know, ultimately it's a power game, like you said the sweet spot is citizens who are smart enough to pay taxes but too dumb to be rebels, and my thinking is that it's going to take less and less intelligence to pay taxes, with cbdcs and all that it entails paying taxes won't be difficult if you're properly subjected to the system, so the requirement to be smart enough to pay taxes may drop drastically. On the other hand, I'm not sure that the disrespect of the other side is based on the average IQ or how rebellious the people of a country are, but rather the opposite, how good they are at manipulating and controlling everything. I agree with your point that they are evil in an idiotic way, at least many of them are simple cogs in a monstrous machine, who out of selfishness and unwillingness decide not to face the repercussions of their actions, and for them we can call them idiots, although for me that does not mean they are evil, because consciously or unconsciously they are facilitators of all this.
Discussion
Even in the hypothetical scenario of people being able to pay taxes being them monstrously stupid (that I don't believe, because to produce something meaningful, you need a minimum of intelligence and free trade), you better not fuck around trying to harness stupidity. It can create massive systemic chaos and failures. It is like the phrase: "two things are infinite, the universe and human stupidity and i'm not sure about the former"
Don't mess with stupidity. It's a bitch, probably the bitchiest bitch.
Yeah, some people with no evil intentions can be instrumentalized but I think it's not relevant today in the highest spheres of fiat power in this corrupted world (probably relevant 30 years ago)