Chapter 625 Customs stamps and tax stamps
Abandoning the topic of Black Snake Bay and Lightning Forge, Horn quickly brought the conversation back on track.
Horn knocked on the table and cleared his throat: "First of all, I make a budget not because I personally like to plan everything, but to ensure that every penny is spent wisely.
Without a budget, we end up in a state of haphazard spending - local lords, orders, and even ourselves, risking wasting funds on duplicative, ineffective, and corrupt projects.
If this continues, no matter how much income there is, it will be cannibalized. ”
He paused for a moment, glanced at Meliati, and then said: "The core of the budget is to spend money where it really matters."
Horn picked up a draft budget priority list from the table: "I will not mandate how to spend it, but set a priority, starting with the most important: military spending, government formation and administrative spending, infrastructure construction. ”
"Translate, translate." Meliati turned the quill on her fingertips.
"Military expenditure is the top priority." Horn's tone became serious. "In three years at the latest, the Kingdom of Leia will attack with an army ranging from 50,000 to 70,000, while we only have 20,000 troops at full attack. Army.
We need to expand, train, equip, and even build border forts. All of this requires money, much needed funds, don’t you agree? ”
"Agreed."
He paused and continued: "Second, form the government and administrative expenditures. You know, within the empire, how large our army is relative to the population. Without an efficient government, these armies may even collapse internally."< br>
"But their income should not be too high, otherwise it will squeeze out the interests of the army." Meliati reminded.
"Don't worry, I know what I know." Horn patted his chest and reassured Meliati, "Third, infrastructure makes it easier for us to convey government orders and trade, and it is also easier to mobilize the army."
"Building roads and dams is expensive. Are you sure the income is enough?" Meliati touched her chin.
Horn coughed slightly and softened his tone slightly, "But local taxes alone are not enough. We also need a new form of taxation."
Meliati raised her eyebrows: "What are you referring to?"
"Tariffs. We need to collect tariffs uniformly. We can no longer let local lords set up checkpoints along the way to collect taxes." Horn continued, "Checkpoints and border tax stations must be set up at the entrance of every major road and waterway."
"Is this any different from a local lord setting up a card to collect taxes?" Meliati crossed her legs, "The lord has to pay us taxes anyway."
"You still remember that when we attacked Xialu City (Feiliu Castle) from the waterway, it took three days to go from Zhishuiwu to Xialu City, but from Joan of Arc to Rapid City, it was almost the same waterway, so why did it take seven or eight days? ?”
Meliati's childish face wrinkled slightly, like a big tiger with a kitten's head thinking: "Because I have to transfer...ah, I understand."
I have to say that unlike when Horn had to explain everything in Prague, this capable person understands things quickly.
The biggest problem for lords to set up cards along the way is not double taxation, but hindering circulation!
Take Sechinger selling pigs as an example. Each checkpoint must be checked. If there are too many people, you may have to queue up or even stay overnight.
After passing the inspection all the way to Fort Joan of Arc, even a real big fat pig will have to be starved to death.
Along the way from Fort Joan to Rapids, a large number of low bridges were built, making it impossible for ships to pass. Merchants had to disembark and transfer. Only after paying customs duties were they allowed to leave with their goods.
This was also the reason why it was so slow for Horn to take a boat to Rapids City. On the contrary, in the Hotam County area, the church was powerful and could suppress the nobles and make the merchants pay a bridge tax at Feiliu Castle.
"Tariff, my suggestion is to set up a special independent department to manage it."
"A dedicated independent department? Is it necessary?"
"Tariffs are very important." Horn said seriously to Meliya, "This is the cornerstone of a unified country."
"Why? Isn't this just an ordinary tax?" Meliati leaned back in her chair and took a disdainful sip of black tea.
"The tariff is to turn the local bridge toll tax into a unified collection at the border. This involves a question: This is public revenue, who will manage and distribute the tax?"
Meliati smelled the smell of power and immediately sat up straight: "I'll do it."
"Are you able to come?" Horn couldn't help but smile bitterly. "Do you have enough talents under you? Are there so many tax officers and accountants?" "Damn it, give me some." Meliati held the table with one hand and turned the page. He came to Horn and hugged his head, "You have so many people, can you share some with me?"
"You have your aristocratic talent pool." Horn struggled to say as his head was swollen from the pressure. "Those second sons of nobles who have returned to secular life and children from minor aristocratic families are your talent pool."
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"It's okay for them to fight bandits, build roads, and manage agriculture. I really want them to be in charge of taxation..." Meliati shook her head in disgust.
"That's why I proposed condominium management." Horn stood up from under Meliati's butt, "But I require that the customs duties in Langsand County be completely under my jurisdiction. This is a political issue, you know what I mean."
"I understand." After realizing the core of the customs union, Meliati reacted quickly.
Horn is preparing to quietly make Black Snake Bay a part of them.
"But the question is, how should we supervise smuggling?" Meliati became serious after realizing the importance of tariffs. "Is it possible that we build a wall at the border?"
"No, no, no, it is enough to build border tax stations on important roads. My opinion is that the people should voluntarily supervise and pass the cost to the traders themselves."
Horn pulled out a document titled "Tax Stamps and Stamp Duty Pilot Bill" and handed it to Meliati.
The plan is simple.
Suppose there is a seller, Tom, who brings 50 barrels of wine worth 50 gold pounds into the country. He first registers the quantity, value and ship of the goods at the border tax office. After paying the customs duty of 5 gold pounds, he gets three tax stamps and vouchers.
Whenever he docked, the tax officer on the dock would check his tax stamps and vouchers, and if they were missing, he would have to pay back the tax.
During the transaction, the seller must staple one of the three original tax stamps and the premium tax stamp together to the buyer, keep one copy for himself, and give one copy to the tax official.
Suppose Tom sells 50 barrels of wine to Jerry, a local seller, for 60 gold pounds (a premium of 5 gold pounds). Jerry will definitely ask Tom to produce a tax stamp and voucher.
If after the transaction is concluded, it is found that there is no tax stamp, the back tax that needs to be paid is not 10% of the premium (i.e. 0.5 gold pounds), but 5.5 gold pounds.
If Jerry fails to fulfill his supervisory responsibilities for his family, he will have to pay taxes for his family!
Similarly, Jerry's next family will also make similar demands, otherwise he will have to bear up to 6 gold pounds in back taxes.
When it comes to the retail stage, assuming Jerry is a liquor wholesaler in a city, then he has to exchange tax stamps for stamps.
Only alcohol with a stamp on it is legal. If a pub buys a drink from Jerry and it doesn't have a stamp, report it.
The reporter will receive 20%-35% of the evaded tax. At the same time, through a back-book check, all pubs that purchased non-stamped drinks must also pay back taxes.
Of course, this is not a perfect process, but a process with dynamic games.
If the amount is small, no one will offend the distributor for this small amount of money; but if the amount is large, the most you can do is use the money to live in a city.
Inevitably, someone would smuggle in a small amount of contraband, but compared to the large amount of tax, Horn turned a blind eye to the entrained part.
After all, the tax cost of this part is greater than the tax revenue, and he will not do business at a loss.
"I generally agree with this budget." Meliati unknowingly swapped places with Horn and sat at the report table opposite Horn. "But there are still many areas that have not achieved the goal of becoming one-hundred-household districts. Are you going to What to do?”
"Old methods in old areas, new methods in new areas." Horn spread his hands, "Anyway, by next summer, the entire Thousand River Valley should have passed the permanent lease."
"What about tomorrow's financial meeting?"
"It's the same old script. I lower the price first, but you don't accept it. Then we quarrel. You leave angrily, and I leave too. Catherine comes to invite me, and Jeanne goes to invite you. How about that?"
"I guess those old men will be frightened." Meliati couldn't help laughing, "Those dwarf mine owners and workshop owners in the Steel Guild are all counting on your orders for farm tools."
(End of chapter)