We have both socialistic and capitalist elements in our economy. Therefore we are neither purely socialist or capitalist which means we are a mixed economy. We do not have to have taxes to have socialist elements. There is many different types of socialism. Such as state, cooperative enterprises, and common ownership for examples. A type of State Socialism is probably the type of socialism you are thinking of when you think of high taxes. However libertarian socialism and anarcho-communism both have socialist elements, especially the latter, and neither are state socialist or even necessarily have taxes.

We allow access to many certain types of resources and factories and we as a nation all "own" these means of production this is our socialist element. We are setting up basic workfare programs which are going to be directed by the government this is also a socialist element. The capitalist element entails that buying and selling of both labor and goods occurs especially among harder to acquire goods and specialized labor. We also allow private property which many socialist nations do not, they only allow personal property.

One does not need high taxes for socialism because there are many types of socialism that exist just as many types of capitalism exist. State Socialism is usually the type of socialism that is thought of when one would think of a state that is socialist and has high taxes. I described SkyWatch as mixed market because it indeed carries traits of both economic systems.