Long Term Causes - The Taxation System Flashcards
How does a good government benefit greatly from an efficient taxation system?
It provides it with an adequate income
What was the taxation system in France like?
Chaotic, inefficient and incomplete
What system were taxes collected by?
Tax farming
Tax farming
A system where the government agrees a tax assessment figure for an area, which is then collected by private individuals or companies that bids for the right to collect it in return for a share of the income
How many tax-farmers gathered indirect taxes?
40
Example of a company that collected indirect taxes
The Farmers-General
What was the largest employer in France after the King’s army and navy?
The Farmers-General
How many men were employed by the Farmers-General?
30,000
Why was the Farmers-General one of the most hated institutions in France?
Ruthless, greedy, corrupt, subjective
How much did each group of tax-farmers pay the government?
Up to 80 million livres for a 6-year lease
In good economic times of high production and trading levels, how much did some tax-farmers make?
Several million livres a year
What could tax-farmers afford to buy?
Grand homes, venal offices, noble titles
What could tax-farmers not buy?
Respect
Many attributed the nation’s financial woes not to the King or his ministers but to what?
The greed and corruption of the farmer-generals
How did the farmer-generals generate a profit?
Paying the State an agreed sun and keeping anything collected above this figure
As a result of tax-farming, what did the French government never receive enough of?
Money from taxes to cover its expenditure