Chapter 1670: Chapter 94: Utter Defeat (Part 2)
“As the third strongest human kingdom, the leader of the Five Nations Alliance, you are well aware of how terrifying the consequences would be if the kingdom government goes bankrupt.”
The words of Prime Minister Duke Delgado, spoken with great earnestness, caused the governors present to furrow their brows.
When the tax farming system was abolished, no one fiercely opposed it because they knew that the kingdom government couldn’t collect taxes effectively.
Indeed, this was the case; the provinces trialing the new tax system saw their revenues shrink dramatically last year.
The Conservative Faction took no further action, partly to avoid escalating tensions and partly hoping the reformists would retreat in the face of difficulty.
The effect was very noticeable; after the trial failed, domestic opposition to the reforms grew significantly.
Under the pressure of public opinion, the reformists were beset with troubles.
If Hudson hadn’t intervened, bringing the Southeastern Province into the reformist camp, the reformists might have already chosen to compromise.
Everyone involved is a noble; even when implementing reforms, they are merely improvements within the Noble Consortium.
It’s far from the point of desperation; the real stance of the reformists isn’t as hardline as it appears.
Enduring the most dangerous moment doesn’t mean the reformists can accomplish much.
If local lords don’t cooperate, there’s actually little the central government can achieve.
Forced implementation is out of the question!
No one can bear the responsibility of igniting civil war.
If it truly reaches that point, the favorable situation of the kingdom will be utterly ruined.
The struggle between the two factions is essentially a political confrontation, testing the art of mutual compromise.
If it weren’t for the outbreak of the reform wave on the continent, stimulating the domestic reformists, the two camps would likely have headed towards compromise in their struggle.
Marquis Delgado’s goal is very clear—to leverage the international wave of reform to force concessions from the Conservative Faction.
“Prime Minister, the problem isn’t as severe as you suggest.
A large part of the kingdom government’s financial difficulties comes from the fact that many provinces in the Northern Border, Near East, and Snow Moon Lake are still in the development stage.
Once these provinces are developed, it’s only a matter of time before the kingdom government’s revenue doubles; the current difficulties are temporary.
If we hold on for a bit longer, endure a few more tough days, the situation will soon improve.
On the contrary, the rash removal of the tax farming system, disrupting a system established over hundreds of years, could entail even greater risks.
Establishing a unified tax system cannot be completed in a day or two. We can’t trust the integrity of the bureaucrats.
Replacing them hastily with a batch of uncontrollable tax officials would create unimaginable damage to the kingdom.
The central government can only set tax rates, but the specific power of verification and assessment lies in the hands of tax officials.
The actual value is entirely up to the tax officials’ discretion.
Even if all these officials are incorruptible, they still need professional skills.
Does the Taxation Department have that many professional talents?”
Duke Beckett responded with a smile.
There was not a single word opposing reform throughout the venue, but every reason he listed struck at the soft underbelly of the reformists.
Who can guarantee the integrity of the bureaucrats?
The professional skills of tax officials are a major issue as well.
With the vast number of commodities, constantly fluctuating prices, the collection is bound to be a headache.
Under the tax farming system, execution could proceed smoothly because a chaotic tariffs system restricted the flow of goods.
The majority of commercial trade remained confined to nearby noble lords, with only a small portion of goods circulating nationwide.
Once this barrier is broken, the speed and breadth of economic circulation will both increase significantly.
“Duke Beckett, the issues you’ve raised do indeed exist, but they are solvable.
If everyone is worried about the bureaucrats’ integrity, we will oversee their conduct.
If the tax officials lack professional skills, we’ll train them before they start working.
We can’t let problems bind our hands and feet.
Looking across the entire Continent of Aslante, our fiscal revenue is nearly at the bottom among the kingdoms.
Even the isolated Falcon Kingdom has a fiscal revenue three times ours.
Compared to the Frank Empire and Iberia Kingdom, the disparity is even more pronounced.
Years of warfare leading to a significant outflow of wealth is a major reason, but our tax system and economic structure are also factors restricting the kingdom’s fiscal growth.”
Minister of Finance Count Francis immediately rebuffed.
The reformists had been planning for a long time for this meeting, and no amount of difficulty could defeat them.
They had prepared responses for every kind of challenge. Whether or not they can achieve it, they certainly won’t lose a war of words.
No matter what reasons the opposition brings up, they will resolutely counter them.
If they can’t leverage the current situation to force the Conservatives to make concessions, they’ll really just have to wait for the Northern Border, Near East, and Snow Moon Lake provinces to start paying taxes.
Relatively speaking, the tax-exempt period in the Northern Border is shorter, so there’s a chance for everyone to wait it out.
The tax-exempt period in the Near East and Snow Moon Lake provinces is as high as thirty years, a genuine lifelong timeframe.
Even if King Caesar IV can wait, the ministers on the court can’t hold their positions for twenty to thirty years without moving; the odds are too low.
Unless the reforms succeed and they boast a slew of achievements, there might be a chance to remain in office.
If the reforms fail, they’ll immediately need to pack up and leave.
“Count Francis, the solutions you proposed exist only in theory.