Wow....just, wow.
No, if every city/town was forced to have paid EMS, they would not have any EMS. They would instead contract with a neighboring agency that could afford the overhead costs associated with maintaining paid staff, or go into a regional EMS model. Neither of those options would ensure adequate response times or staff availability.
This isn't always true. I know for a fact a municipality I vollyed for could have affored 24/7 BLS transport coverage (ALS chase was separate). This would have cut about five minutes from response times, dropped the number of ALS runs (which only were ALS because the volunteers could not always be trusted with a patient), and could have been done for probably under $100,000 a year.
But to be fair, there are other areas that could not afford that and could not justify it.
As for taxes, Level1pedstech, the lowest tax brackets in the USA are the poor, and the very wealthy. So while you may see 40% go to taxes, a millionaire who carefully manages manages his wealth and assets can end up paying maybe 10%. And that 30% lost tax revenue is a decent chunk of cash.