In Duanben Palace in Nanjing, Crown Prince Zhu Ruofeng asked Tang Zhen for advice on tax reform, "Master Tang, you proposed deed tax reform. What does this deed tax have to do with the 'tax assessment' of the Eastern Jin Dynasty and the seal money of our dynasty?"
Is it different? Why change it?"
"Your Highness, the money for sealing deeds in our dynasty originated from the 'tax assessment' of the Eastern Jin Dynasty. The tax assessment stipulates that for those who buy and sell land, houses, slaves, cattle and horses, and have a deed, the government will collect 400 yuan for every 10,000 yuan transaction amount, that is,
The tax rate is 4%, of which the seller pays 3% and the buyer pays 1%, which is a two-way payment. When the Song Dynasty began to collect seal money, the two-way payment was changed to one-way payment. The seller did not pay and the buyer paid, and the tax rate was about 100.
3. The seal money of our dynasty is similar to that of the Song and Yuan Dynasties. This tax has a history of more than a thousand years and was originally very complete. The reason why I proposed the reform is that I have objections to its tax rate and scope of collection." Tang Zhen
Answer calmly.
"Oh, Master Tang, do you have any objections to the tax rate and collection scope of our imperial deed money?"
"I believe that the most important functions of taxation are twofold: one is for national use and maintains the operation of state functions; the other is to adjust the gap between the rich and the poor, and make up for the shortfalls if there are more than enough. The current tax rate for seal money is fixed, and how many houses can be bought?
, all levy the same tax rate, which actually does not play a role in regulating the rich and the poor. Therefore, I suggested that the deed money should be changed to deed tax."
Zhu Ruofeng became interested, "How does Master Tang plan to reform?"
“I believe that different tax rates should be levied according to the number of houses owned. If people without houses buy a house to live in, they can only be taxed at one hundredth; if they already have a house and want to buy another one, they can be taxed at two hundredths;
If you already have two houses and want to buy a third or more houses, you can be taxed at 3%. In this way, ordinary people pay less tax and wealthy families pay more tax, which can play a role in equalizing the wealth between the rich and the poor."
Tang Zhen is confident and can talk freely.
Zhu Ruofeng's heart was filled with emotion as he listened, "Listening to Master Tang's words is better than ten years of reading! Such a change will really make up for the shortcomings."
Tang Zhen smiled and continued: "There is no need to change the deeds for cattle, horses, fields, etc., except for the section on slaves. Our court prohibits the common people from owning slaves and slaves, and only allows the families of noble officials and scholar-bureaucrats to own them.
The trading of human beings is the most detrimental to the harmony of the world and is not conducive to the development of industry and commerce. The tax rate on the sale of slaves can be increased to one-tenth to restrict the tyrants from annexing the population."
"Well, this proposal is also reasonable. I will go to Emperor Shufu to change it tomorrow."
"Your Highness, since the damage to the way of heaven is enough to make up for the shortcomings, I think we can tax individuals according to the amount of their income."
After hearing this, Zhu Ruofeng cheered up and said, "It seems that you have new ideas, please speak freely."
Tang Zhen smiled arrogantly, "The main purpose of the new tax I propose is to equalize the wealth and the poor. The threshold is set at twenty taels. If the annual income is less than twenty taels, no tax will be levied; if it is above 20 taels but less than three hundred taels, it will not be levied.
Two, three hundred taels will be levied; if it is more than 300 taels but less than 3,000 taels, one tenth will be levied; if it is more than 3,000 taels, two tenths will be levied."
Zhu Ruofeng joked, "Well, in this case, the tax will mainly target those wealthy households. Master Tang, you have a grudge against the wealthy households."
Tang Zhen also smiled, showing his white teeth, "I don't have any grudge against the rich, but I want to make the Ming Dynasty long-term and stable. Personal income includes business income, refining pens, interest, dividends, bonuses, income from property leasing, income from property transfer,
Accidental income, salary income, etc., all inputs should be included in the calculation. I can deduct it from three aspects first, and then calculate it centrally at the end of the year, and make up for the excess. First, the income from buying and selling a house, for example, someone spends three hundred
Two people bought a house and sold it for 500 taels. One purchase and one sale, the income is 200 taels. When signing the contract, six taels of tax can be deducted first; secondly, the company’s dividends to shareholders; thirdly, the company
Salary to employees”.
"The new tax type that Master Tang mentioned is completely unheard of, and it sounds very reasonable. But in addition to income, people also have expenses, such as spending money to buy medicine when sick, supporting parents, etc. I don't know these, have you considered it?
"Zhu Ruofeng asked a very realistic question.
Tang Zhen smiled happily, "Your Highness is really wise and wise, and he immediately asked the question. I have planned six deductions for these expenses. If there are children in school, one hundred taels per child will be deducted; if I am in school,
One hundred taels can be deducted; if there are elderly people who need support, one hundred taels can be deducted for each elderly person; if one needs to rent a house, one hundred taels can be deducted; if one is seriously ill, three hundred taels can be deducted; if one borrows money from a bank to buy a house, one hundred taels can be deducted.
Five hundred taels can be deducted."
Zhu Ruofeng took a long breath and said, "Master Tang has really thought it through. In this way, I will have no doubts anymore. I will inform my father about this matter early tomorrow morning and implement it immediately."
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Early the next morning, Zhu Ruofeng took the opportunity to greet Emperor Guangwu and told all of Tang Zhen's suggestions.
"What! Reform the deed tax and introduce personal income tax?"
Zhu Hengjia was stunned, glanced deeply at his son, and asked: "Is this your own idea, or is it Tang Zhen's idea?"
"I dare not hide it from my father. This is all Mr. Tangge's idea."
It’s so scary! That Tang Zhen is so scary! How could he have such advanced consciousness? Zhu Hengjia almost began to suspect that Tang Zhen also had the heart of a time traveler.
He carefully considered the pros and cons of reforming the deed tax and levying personal income tax.
Well, the original deed money was too simple, with a single tax rate, and it was difficult to take into account fairness. The deed tax reform is still necessary. It’s just that the personal income tax reform seems to have appeared earlier. It would take another hundred years in history for the UK to introduce this tax
Tax.
Taxation must meet the needs of economic development! Zhu Hengjia believes that this personal income tax can only be implemented when the capitalist industry and commerce in Ming Dynasty has developed to a very high level. At present, Ming Dynasty is still in the embryonic stage of capitalism, and the time to impose this tax is not yet mature.
Expropriation may increase the burden on the people and hinder the development of industry and commerce.
Many problems are difficult to solve. For example, the problem of double taxation. Nowadays, Ming Dynasty is promoting joint-stock companies everywhere. These companies have already paid income tax to the Ministry of Household Affairs, and because of dividends, personal income tax is levied again. Isn’t it double taxation? Another example is
, the specific amount of income is also difficult to calculate. There is no big data in this era.
After thinking about it, I felt that it would be better to let it go and not levy it for the time being.
"Yeah," the old emperor finally hummed and opened his mouth: "I think the time is ripe for deed tax reform and can be implemented; as for personal income tax, let's let it go first."
"Father, I think the idea of personal income tax is quite good, why should we let it go first?"
"Alas! Those companies have already paid corporate income tax, and then they levy personal income tax when they distribute dividends. Isn't it a duplication? Too much taxation may hurt industry and commerce!" Zhu Hengjia disagreed.
"Father~" Zhu Ruofeng still wanted to argue.
Zhu Hengjia waved his hand in displeasure and said, "If you want to levy this tax, we will levy it after you ascend the throne. As long as I live, I will have to do what I say."
As soon as this statement came out, Zhu Ruofeng was so frightened that he broke out in a cold sweat and said yes again and again, not daring to argue anymore.