You are stating as fact what actually is just a popular current hypothesis, one that I don’t think you understand. The government doesn’t “destroy” the funds it takes in as taxes, it literally spends those funds on government programs and direct payments to individuals, and borrows whatever more it needs by taking on debt through the sale of Treasury bonds. This is why a law like the Debt Ceiling can cause havoc, the government will actually fail to pay salaries, keep agencies open, pay government contractors etc. if it can’t borrow that money by selling Treasuries, not to mention failing to redeem current bonds on schedule, which would damage or perhaps destroy our credit rating, the confidence bond buyers have in buying and holding those bonds. There’s a very real reason that the government doesn’t do what you suggest, just print money to pay the bills; doing so would almost certainly be inflationary, which as you say is a very real constraint.