Starting from the Planetary Governor - Chapter 717

Chapter 715, Bargaining

Of course, Gu Hang was still keeping an eye on the events on Holy Terra.

However, they were no longer the most important issue.

Gu Hang had already decided to accept the proposal put forward by Premier Xu of the Taxation Department.

Of course, not now, immediately, or right away.

There were still many details that needed to be discussed.

For example, the location of tax payment, and the fact that the five major star regions mentioned in the Alliance Plan were to pay full taxes to the Empire, but Gu Hang became the Chairman of the Spider Web Universe and did not allow the Alliance to expand. Should the other nine star regions in the Spider Web Universe be left with 30% in the star region government and 20% in the universe region government?

After all, these nine star regions were not Alliance territories and did not have to abide by the Alliance Plan.

Of course, instead, although the Universe Region government agencies could be established by Gu Hang, the Universe Region Chairman, the Executive Yuan had the right to intervene in the appointment of the heads of the star regions and the bureaucrats of the governments at both the universe and star regions levels. Beyond the government, there are also vertical administrative structures, such as the two-tiered Ministry of Military Affairs, the Ministry of Taxation, and the Ministry of Justice, all of which are subject to the vertical leadership of the Imperial Central Military Affairs, Taxation, and Justice Departments.

Not to mention, they also have to support the Inquisition, the Astra Militarum, and the Navy, all of which are subject to restrictions.

Funding for the Astra Militarum, the Navy, and the Inquisition’s activities all requires appropriations. Not only does this require direct funding from the Ministry of Taxation, but these departments, agencies, and military units also

require funding from their superiors. Of course, these established units, such as the Astra Militarum, the Navy, and government departments, not only have to answer to the Cosmic Domain Chairman but also to the vertical leadership of their superiors.

This is a political arena.

It all comes down to whether funding from higher authorities or the Cosmic Domain government is more effective; it’s a struggle for personnel control. The ultimate result is that these departments are constantly wavering between implementing the will of the Cosmic Domain Chairman, the Cosmic Domain Head, and the Imperial Central Government. Add to that the personal interests of their own departments and bureaucrats…

The conflicts of interest alone are so numerous, and then add to that the corruption? And then there’s the propositions? And the political ideals?

Just thinking about it was a daunting thought.

In this situation, how could efficiency be improved? How could Gu Hang implement the “salvation plan” he’d envisioned for the worlds of the Spiderweb Universe?

Gu Hang, in his heart, was unwilling to accept a complete restriction on the Alliance’s expansion, leaving him reliant on conventional Imperial local government institutions for governance of the Spiderweb Universe. With a system of cosmic domains, star regions, star zones, and planetary systems, efficiency was far too low, leaving too many areas for wrangling.

However, Gu Hang’s reluctance didn’t stop him from negotiating.

The implication was that if the Alliance wasn’t allowed to expand, then the Alliance’s plans wouldn’t include the rest of the Spiderweb Universe. Tax revenue for these regions wouldn’t be guaranteed. The additional 800 billion in taxes, beyond the 130 million, would have to be collected according to the Empire’s normal local tax system.

This meant not only would the local governments have to retain more than half of their tax revenue, but the Alliance wouldn’t be able to guarantee low losses.

Ultimately, the potential tax revenue collected by the Imperial Central Government would be a mere 50 billion?

A difference of over ten times.

If you don’t allow the Alliance to expand, I’ll pay you more taxes; if you do

n’t allow the Alliance to expand, there won’t be any money.

Gu Hang’s meaning was clear: the Tax Department needs to step up a little.

Furthermore, even if expansion is allowed, they’ll need to bargain hard.

The nine devastated star regions, while vast, have been ravaged by the brutal wars of the past decade or so. Eight hundred billion is simply not worth it; we need to negotiate down the price.

Besides continuing to sway the Imperial Central Tax Department with money, Gu Hang also needed to pressure the Government Affairs Department.

Since these areas aren’t under the Alliance system and aren’t covered by the Alliance Plan, should the Imperial Central Interstellar Army and Navy Headquarters allocate funds for the construction of these areas? Should

the Executive Yuan allocate funds for planetary reconstruction?

Should the Tax Department allocate funds for the construction of a tax fleet? Otherwise, how will taxes be collected? The Alliance can’t collect them; this has nothing to do with the Alliance; you don’t allow the Alliance to interfere.

The same goes for other cosmic and interstellar affairs.

Calculating this way, outside of the Alliance-controlled areas, the Spider Web Empire wouldn’t even be able to recoup 50 billion annually. Taking these grants into account, the central government might even have to pay Gu Hang back.

You’ll see what happens.

These things can’t be settled overnight.

Let’s discuss it slowly.

The Alliance’s ambassador to Holy Terra is quite high-ranking. Salihovich was a prominent figure in the Alliance’s diplomatic department. As the Alliance grows, the most important external relationship is naturally with Holy Terra, and naturally, a top-tier figure is needed to fill this ambassadorial role.

Gu Hang is very confident in Salihovich.

Apart from anything else, he’s now at Level 8, with all his upgraded traits related to diplomacy, negotiation, and charm. He’s the Alliance’s most formidable talent in this area.

Of course, as the saying goes, what you can’t gain on the battlefield, you can’t gain at the negotiation table. Salihović is merely eloquent, able to read people’s expressions, and likable. He can be sharp when necessary and stand firm when necessary, but he can’t turn black into white or secure any excessive profits.

Ultimately, a plan must be formulated, and the support of a powerful Gu Hang and a strong alliance is needed to maximize Salihović’s abilities.

The good news is that Salihović can also count on Gallardo’s support.

Having a High Lord’s help is highly effective.

On the one hand, it allows him to obtain information that would be impossible to obtain through normal channels. Otherwise, even the most sophisticated Alliance intelligence department wouldn’t be able to get the latest information on the Supreme Council’s discussions.

There’s no problem with the second-hand information; leaks are everywhere.

On the other hand, there are some strategies, and Gallardo can help speak for them at the Supreme Council.

Let’s discuss it slowly.

However, it won’t take too long.

The next tax payment date is set.

Whether to implement the Alliance Plan or find another solution will be determined in just one or two months.

Gu Hang patiently pushed the Alliance Government to formulate its first two-year plan, which was followed by an eight-year plan.

The first two-year plan was to address how to pay the 800 billion yuan tax revenue that would be paid to the Empire in two years’ time.

It wasn’t difficult.

The current Dragon Eagle Star Region tax revenue, combined with the fiscal surplus, would almost cover the cost.

However, the pressure in the next two years wasn’t on taxes, but rather on improving the development of other regions while the tax burden was still low.

…

(End of Chapter)