Starting from the Planetary Governor - Chapter 715

Chapter 713, Tax Pressure

is steep, indeed steep.

The 1.3 trillion mentioned in the Alliance Plan isn’t a big deal.

According to the Empire’s 10% tax rate, with a combined population of 10 trillion, the five star regions would generate 1 trillion in annual tax revenue, which isn’t a big deal. The extra 300 billion is due to the fact that some worlds have higher levels of development, resulting in higher taxes.

The Alliance has many highly developed planets, especially the two core areas of the Dragon Eagle star region, which Gu Hang has managed for a long time: Qimadi and Yunluo Center, which are already quite prosperous.

Many planets with high levels of development are subject to higher levels of taxation.

However, there are also two forge worlds, Jindi and Aramita, which are tax-free. Furthermore, the home worlds of two meritorious chapters, the Blood Sharks and Phoenixes, can also receive two tax-free quotas.

Previously, neither of these two chapters had a conscription planet. With their meritorious service, they can certainly request one. The Imperial Center has already approved it, and the location is within the Alliance.

However, their model is completely different from that of ordinary chapters. The Alliance manages their home planets, and so does their planetary income. In theory, they own the wealth of their respective home planets, but that’s meaningless. The Alliance provides them with far more than their home planets produce.

A typical chapter needs to expand its influence, radiating from its home planet to surrounding areas, relying on dozens or even hundreds of planets to support its development. This is the only way to maintain a reasonable balance. It’s impossible for a single planet, whose wealth is uncertain, to provide all the needs of an entire chapter.

Gu Hang needn’t worry about these two chapters becoming a thorn in the side of the central government.

Phoenixes are out of the question.

Blood Sharks are unlikely either. Not to mention that one-third of this chapter’s members are new recruits provided by the Alliance. If they don’t want to return to the Dark Outlands and want to develop effectively within their borders, competing with the Alliance for influence is pointless; the Alliance can easily block them.

Following the Alliance has become their only option.

Unfortunately, the Dragon King’s Spear, Fury Flame, and New World Torch are all chapters sentenced to the Expedition of Atonement. The latter two received two-hundred-year expedition sentences; the former was much shorter, only fifteen years. Even the least powerful of the Dragon King’s Spears had their ownership of their homeworlds revoked.

Of course, while their homeworld in the Nepeta Star Region was no longer officially theirs, Gu Hang still allowed them to station and operate there permanently.

The three regiments currently rely entirely on Alliance support for their income.

It’s thanks to the Alliance’s protection that they avoid the unprotected fate of the legions of the Atonement Expedition.

But they also can’t provide the Alliance with tax-free planet quotas.

That’s fine. The tax-free quotas offered by the two Forge Worlds and the two Recruiting Worlds are considerable in absolute terms. After all, if Forge Worlds were to be taxed according to their level of development, they would be substantial. Gu Hang would also grant tax-free quotas to the two more developed Recruiting Worlds, and they needed to utilize them.

The combined tax burden could reach hundreds of billions.

It’s not a small amount, but compared to the total tax revenue the alliance has to pay, it can only be considered a slight relief, not a significant one.

Overall, according to the Alliance Plan, with biennial tax payments of 300 billion in the first year and 500 billion in the second, totaling 800 billion, it’s not a big deal.

In fact, it’s relatively easy.

The Dragon Eagle Star Region alone, with taxes and the fiscal surpluses from those two years, would be more than enough to cover the cost.

Driven by the war and the tax revenue, the Alliance’s growth potential will surge in the coming years. As reconstruction progresses, other star regions will also gradually demonstrate their potential.

Ultimately, achieving the 1.3 trillion tax revenue is a slight challenge, but not a significant one at all.

Although both the star and universe governments are required to retain funds for their own development, and these funds have been handed over, Gu Hang is fully confident that the Alliance’s growth will exceed everyone’s expectations. After paying these funds, the Alliance will have ample resources for its own development.

The Alliance faces no pressure from the high tax costs typically associated with imperial regions.

The Alliance’s administrative efficiency is remarkably high.

However, when a political entity encompasses four thousand worlds, more than half of which were acquired in the past fifteen years, there are still numerous challenges. With a population reaching trillions… at this scale, absolute efficiency is unrealistic.

Efficiency is a matter of comparison.

Gu Hang, however, is dissatisfied with the inevitable bloat and inefficiency that comes with the expansion of the Alliance’s government. It’s fair to say that while the Alliance’s corruption problem has been curbed, it’s not eradicated.

However, despite its numerous problems, when compared to the overall state of the Empire, the Alliance immediately becomes a highly efficient and honest system.

Tax costs will never reach the typically terrifying 60%;

with unified collection, management, and transportation, the Alliance can keep losses to 10%, or even less than 5%.

Absolutely no problem.

Furthermore, the Alliance possesses something other Imperial powers lack: two Forge Worlds, which Gu Hang now has complete control over. The output of these two Forge Worlds can also be utilized by the Alliance, contributing to its tax revenue.

However, Xu Fuzhen’s proposal to hand over the entire Spider Web Universe to Gu Hang, making him chairman and raising the tax rate to 2.1 trillion per year… that’s a bit too much pressure.

The main problem is that, aside from the three star systems of Proud Claw, Nepeta, and Alfonzo, which the Alliance had previously captured, the rest of the Spider Web Universe is completely rotten.

The Alliance is truly reliable; they govern wherever they conquer. When there is a Zerg threat, we will set up a Zerg Control Office to govern on the spot; regional economic reconstruction and political reconstruction, although before because there was no finalized status and the main focus of the Alliance was on the war, no direct investment was made. But, to be honest, as long as the governance keeps up and no one messes around, many worlds will just recover more slowly even without the support of external forces.

What governance experience does the Alliance have?

Those small experiences, techniques, and methods are not mentioned.

The most core theory: Don’t mess around, do things normally.

This one point alone has surpassed countless places.

The reason for such an obvious contrast is that many places are messing around.

For example, the other places in the Spider Web Universe just mentioned.

They are a complete burden, but they have to make Gu Hang bear an additional 800 billion/year in taxes, which is a lot of pressure.

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I will post one chapter first, and there will be more later

(this chapter is finished)