Chang'an, the imperial study in the palace.
Fu Xiaoguan was chatting with Wu Tianci, He Zhuo and other old ministers.
"Is the situation in Yueshan really this serious?" Zhuo Yixing asked in disbelief.
There has been a lot of commotion in the court these days. The Ministry of Revenue, the Ministry of Personnel, and the Ministry of Justice have sent many people to Yueshan and the two roads. What's more crucial is that Xu Xiaoxian has transferred 3,000 marines over there!
Ever since He Sandao died in the Peacock Kingdom, Fu Xiaoguan handed the Marine Corps over to Bai Yulian. Bai Yulian is the only general in Daxia today, and he has enormous power to command the navy and the army.
This time, General Bai Yulian personally led 3,000 fully armed men to Yueshanliangdao. It was obvious that the problem there was somewhat out of control.
Fu Xiaoguan stood up, took Yan Xiwen's urgent letter from the dragon table and handed it to Zhuo and his group. His face was a little gloomy. "The situation is more serious than we imagined. I am very worried about Yan Xiwen's safety. After all, there are still 30,000 government troops in Yueshan North Road, and 10,000 in Chongzhou!"
"Although these palace soldiers don't have guns, Yan Xiwen is only accompanied by a dozen or so soldiers from the garrison. If someone gets desperate... I told Bai Yulian to rush to Xiashan Village, where Yan Xiwen is currently located, as quickly as possible."
"Regarding the issue of government soldiers, we once thought they were to be used by local authorities to maintain public order, provide disaster relief, or even suppress bandits. Now it seems this idea was wrong. Public order in each prefecture and county can be completely maintained by the government's constables."
"Now that transportation in Daxia is well developed and smooth, if a dangerous situation really occurs somewhere, the Daxia Army can quickly transport troops there."
"As for bandits...if ordinary people could live a good life, there wouldn't be any bandits left."
"So, I'll leave this matter to your cabinet to discuss. My intention is to abolish the prefectural soldiers and have them return to their respective registered places of residence. Of course, the pros and cons of this will require your cabinet to discuss and decide."
"I obey your command!"
Zhuo Yihang finished reading the letter and handed it to Nangong Yiyu. He frowned and thought for a moment: "What Prime Minister Yan mentioned about eliminating 200,000 soldiers from the Great Xia Army and establishing a separate engineering corps... I think this is suitable for the current national conditions."
"The terrain throughout Daxia is extremely complex. In fact, many places are currently unable to lay rails for trains, and there are even many places where official roads are blocked."
"This is one of the root causes of poverty! Didn't Your Majesty once say that building roads is the first step to prosperity? Why not take advantage of the rural revitalization plan and completely connect Daxia's transportation within ten years?"
Fu Xiaoguan nodded. "That's a good idea. The Cabinet should take the lead on this matter. We should first discuss with the Ministry of War and reduce the eight armies of Daxia to six. I suggest that Pan Shuyang's Seventh Army and Zhao Jue's Eighth Army be changed to the First and Second Armies of the Daxia Engineering Corps!"
All the soldiers of these two armies are not former martial artists. It’s not that they are not good at fighting, but the current Daxia really does not need to have so many combat troops.
"This matter needs to be finalized as soon as possible. The Ministry of Revenue and the Ministry of Works must also plan the roads to be built as soon as possible. I hope to complete the transformation of the engineering corps by the end of the year and rush to various places where roads need to be built."
Nangong Yiyu returned Yan Xiwen's letter to Fu Xiaoguan and sighed, "To be honest, this is the mess we left behind when we were in office. Thank you, Prime Minister Yan and the others, for your hard work."
"Now, allocating grain from Jiangnan Road or other places to Yueshan Road can solve the famine problem of the local people, but it will not be enough time for spring plowing and sowing."
"I think we should send the sweet potatoes over as soon as possible so that the people can plant them and make up for this year's harvest."
"Also, regarding taxes, officials from the Ministry of Revenue should be assigned to each county. Those that are exempt should be explicitly exempted, to prevent officials from exploiting loopholes and profiting from them."
Fu Xiaoguan pondered for a moment and asked Liu Jin to invite the Minister of Revenue Yun Xiyan over.
"What is the current tax structure of Daxia? I mean, what proportion of all taxes is agricultural tax? What proportion is commercial tax?"
Yun Xiyan answered immediately, "Agricultural taxes have been decreasing year by year over the years. I compared the tax collection at the beginning of Your Majesty's reign during the Wu Dynasty. At the beginning of Your Majesty's reign, agricultural taxes accounted for as much as 60% of the national tax revenue, and the remaining 30% was commercial taxes."
"Since the first year of the Great Xia Dynasty, the proportion of agricultural taxes has dropped dramatically. Last year, agricultural taxes only accounted for 20%, and the remaining 80% was commercial taxes."
"Based on this year's business conditions, I believe the agricultural tax will be further reduced, roughly to 10%, and maintained at 10%."
Fu Xiaoguan then asked, "If the national agricultural tax is abolished, will it have a significant impact on the fiscal revenue of the Great Xia treasury?"
When these words came out, not only Yun Xiyan was shocked, but even Zhuo Yihang and Nangong Yiyu were also startled——
Since ancient times, farming and paying taxes have been a matter of course.
Even in the Wu Dynasty ruled by Emperor Wen or the former Yu Dynasty, in addition to direct taxes on land, there were also some miscellaneous taxes, such as head tax, livestock tax, etc.
At that time, in addition to paying these taxes, the people also had an obligation to perform labor service!
If your family is wealthy and you don't want to do labor service, you can pay silver as compensation.
But after Fu Xiaoguan ascended the throne, he gradually abolished those taxes. Now, the new tax law of Daxia has been implemented for three years, and taxes such as head tax no longer exist.
Even the practice of corvee labor no longer existed.
He now wants to abolish the agricultural tax... Then the farmers will no longer have any taxes, which means that the output from the fields will all belong to them.
Yun Xiyan thought for a few breaths and nodded. "According to the current situation in Daxia, commerce is extremely prosperous and will continue to thrive. The taxes generated from commerce are actually sufficient to support the operation of Daxia. Eliminating agricultural taxes will provide farmers with additional income. On the other hand, this will also increase their pockets and in turn promote consumption and generate commercial taxes."
"I think it's okay!"
"Then submit this matter to the cabinet for discussion. Once approved, immediately proceed with amending the tax law and notify the entire nation!"
"Your Majesty, obey your command!"
Yun Xiyan took his leave, and Fu Xiaoguan poured a cup of tea for Zhuo Yihang and Nangong Yiyu. He suddenly felt that the haze that had been lingering in his heart for these days had dissipated.
He smiled and said, "Don't be so surprised. Look at these issues from a developmental perspective."
"Exempting agricultural taxes can increase people's enthusiasm for farming and bring them a better life."
"Only when the people live a prosperous life can Daxia be truly called prosperous."
"Besides, next year I will take my fleet out again. After establishing trade relations with all the countries in this world, whether through force or negotiation, Daxia will be richer than you can imagine!"
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