http://www.archives.gov/exhibits/charters/declaration_transc...
The British government was forcing colonists to house their troops, which allowed them "free" housing and food. It also acted as a mechanism to restrict free speech and to spy on the colonists. Who would speak against what the King and government was doing if you had his soldiers living in your house?
The British government was also eliminating laws the colonists had made for themselves, and instantiating his own. The government was kidnapping people, taking them overseas to be tried for false crimes. The government started domestic insurrections.
The government also regulated the colonists' trade with other countries, trying to enrich itself and pay for its irresponsible Keynesian "stimulus". Therefore the government also imposed taxes on the colonists, without giving them any representation in parliament. The government actually tried to compromise with a lower tax, but the colonists were unwilling to have no say in their government, hence the Boston Tea Party (a demonstration against taxes).
The government also created a multitude of new government offices and harassed the colonists with regulations of every sort. The government also hired mercenaries to terrorize towns, causing great damage and death. They additionally conscripted colonists into their army to fight their own towns.
All of this the colonists called tyranny, and you can read more in the Declaration.
So the colonists were not revolting because government was not spending enough. They decided to form their own government which was only funded by import duties (and in the early times, taxes on "vice" products like snuff). No income tax, no social security tax, no death tax, no gift tax, nothing.
It was this practically non-existent government (yet a respect and protection of private property) that allowed the United States to go from a 3rd world nation to the most powerful nation on earth. By 1900, the US was a scientific and manufacturing powerhouse. Permanent income taxes and a central bank would not come around till 1913.