readx;

Although on the surface, just selling the shops is only a part of the rent, but in fact, this is the foundation of the survival of the free city, and when these shops are sold, they no longer exist at all. Pen & Fun & Pavilion www.biquge.info

Twenty percent of the tax, that is, as the saying goes, five taxes one, this tax is actually very low, especially worth mentioning, the whole transaction is only taxed once, in the free city, except for the moment of the transaction, no one needs to pay a penny of tax, why? In fact, the tax is in the fee, and this fee is the rent of the store.

Twenty percent of the tax is about five percent to the kingdom and five percent to the Holy See, and after deducting these, there is only ten percent left.

But now the question arises, doesn't a city need to spend money? Isn't 10 percent of tax revenue all profit? No...... Of course, it can't be that simple.

Roads need to be built, buildings need to be built, workers need to be paid, and more than 100,000 people need to work for such a large industry, and the wages of these 100,000 people alone can account for 5 percent of the tax!

After deducting the taxes of the royal family and the Holy See, and after deducting the salaries of employees, the actual remaining is only five percent of the tax, but even this money is not pure profit!

The city always has to develop, even if the part that has been repaired, it also needs to be repaired, and the city also needs to continue to expand outward, and it needs to show a huge army to protect the safety of the city, in terms of military spending alone, this remaining five percent is not enough, although a city only needs 10,000 escorts is enough, but you must know that the soldiers in this world are absolutely different from ordinary people.

To be qualified to be the guardian of the free city, at least it must be a seventh-order master, a legion composed of tens of thousands of seventh-order masters, the backbone of which are all eighth-order martial artists, and their salaries are very high, plus weapons, armor and other equipment, the five percent tax can basically be equal.

In other words, on the surface, 20 percent of the tax money seems to have fallen into the hands of the Grand Duke's Mansion, but everyone only sees people making money, but not how people spend their money.

Of course, Lu Yi is better here, and he directly got forty ninth-order masters, and he doesn't need any legions at all, so this five percent tax is pure income, but you must know that after the Gary Kingdom took over, the situation is not like this, there is no ninth-order master who is willing to do what kind of guard, and after the strength reaches the ninth order, what can he do without making money? Who wants to be a low-level guard? That is, the city management on the earth!

The forty ninth-order masters that Lu Yi found, they were parasitized and lost their self-consciousness, Lu Yi gave an order, let alone be a guard, even if they were allowed to die immediately, there would be no hesitation, because in fact, there was no brains left in the brains of these people, and instead of them, they were actually mature parasites! All their actions were controlled by parasites, and the mother body of the parasites was the brain-eating worm! The brain-eating worm was Lu Yi's doppelganger and belonged to a part of his body.

The next thing to talk about is the rent of the store, in fact...... This is the biggest source of income for Free City! Although the rent of houses may not seem too expensive for the time being, as Free City grows, it will become more and more prosperous, and the rent of shops will become more and more expensive!

I believe everyone knows that the price of a rural store is absolutely not high, thousands of square meters, 1,800 a month is good, but the same thousands of square meters, you get a big city, the most prosperous area, the price is not a thousand eight hundred a month, you can't take eight thousand, one hundred and eighty thousand a month, people don't give you a gift.

Tens of thousands of commercial shops are the foundation of the existence of a free city! It is a cash cow! Without this part of the income, under the 20 percent tax fee, there will basically be no income.

In the next six months, the free city was still developing, and it became more prosperous than before, and more and more merchants rushed here, squeezing the free city into a water! However, because the free city abolished other types of taxes, and only collected taxes during transactions, although there were many people, the city lord had no income! On the contrary, a lot of money was filled in!

The current situation is that although there are many people in the city, they do not need to pay any taxes! If the shop is still in hand, they can increase the rent to obtain more profits, but now the shop has been bought out by individuals, and the money earned is all their own, and it has nothing to do with the city lord's mansion at all!

Although the store also sells things, the restaurant is also open to the public, but in fact, they are not taxed, they are all service agencies, for those businessmen around the world to do a good job, take the shopping mall as an example, even if you sell more things, there is no need to pay taxes, their taxes are actually in the rent, with the prosperity of the city, the preciousness of the location, the rent will continue to adjust, on the surface it is exempt from taxes, in fact, the tax is in the rent.

Lu Yi has a lot of such means, similar to what kind of tax reform, he has really seen too many on the earth, as long as he can say that he is famous, he can really implement it!

Now, after this part of the tax is abolished, it is equivalent to saying that in the entire free city, all retail sales are completely exempt from taxes, and only large-scale transactions that occur in the trading area can be taxed at 20 percent, and this part of the funds alone is simply not enough to spend, deducting the taxes of the royal family and the Holy See, deducting labor wages, and deducting military expenses, not only does not make money, but also loses a large amount of money!

How much is the monthly rent for tens of thousands of shops? How much is that for 10,000 shops! It is particularly noteworthy that among them, the highly profitable industries are always in the hands of the Grand Duke's government, and there is no need for taxes or anything at all, because all income is pure profit!

For three months in a row, the number of losses every month is greatly increasing, in the face of this, the eldest prince panicked, losing money is a trivial matter, for the eldest prince, he focuses on the whole country, for him, money is just a number, there is not much meaning, the only thing he wants, is the throne of the king!

Now, it is time to prove him, the free city with unlimited potential falls into his hands, as long as he can govern the free city well, let the free city flourish in his own hands, and become the cash cow of the Gary family, then the next throne of the lord of the country must be counted by him.

But before he came, he thought very beautifully, and he could dream of the infinite prosperity of the free city, and the scene of his glorious stepping on the throne of the country, but the reality was extremely cruel, after falling into his hands, the free city did not make money!

Due to the influx of a large number of people, the law and order environment is also deteriorating rapidly, so more troops are needed to maintain order and protect peace, this military expenditure is really too large, with the size and development potential of a free city, it will take at least 30,000 troops to maintain.

Originally, the development outline formulated by Hana cannot be implemented now, and in the absence of income, the money brought by the eldest prince has been lost one after another, and without money, what can be used to develop the city?

Lu Yi was able to develop a good city because he had a construction corps of 10,000 people in his hands, as well as forty ninth-order masters stationed for a long time, plus the intelligence agency agents trained by the three Amy sisters, he could completely manage a city well.

According to the development outline, it was originally necessary to invest a large amount of money to continuously expand the free city, but now, although the royal family has a general understanding of the future development plan of the free city through Hana's report, it has not been given a specific time.

With the influx of a large number of people, the free city was overcrowded, and a large number of foreign businessmen had no place to live but to live on the streets, and the whole city suddenly became dirty, messy and poor. The pressure of sanitation and environmental protection work has increased exponentially!

In the face of the deteriorating situation, the eldest prince did not have a good solution, in fact, the reason for this is due to two reasons, the first is to lose the ownership of the shops in the city, and the second is because the free city is developing too fast.

In many cases, fast development is not necessarily a good thing, infrastructure construction can not keep up, and the development is too fast, it will cause disconnection, once out of touch, it is bound to be chaotic, once chaos will lose order, and once it loses order, then there is no good.

Now the eldest prince is facing the situation that he has no money in his hand, he cannot carry out the work, he can only watch the environment deteriorate, and most importantly, since he took over the free city, he has only seen a lot of money spent abroad, but he has not been able to earn a penny back, and the taxes owed to the royal family can be suppressed and not paid, but no one dares to show the taxes of the Holy See, and the wages of the workers cannot be paid, otherwise who will work?

Seeing that the urban environment is deteriorating day by day, all kinds of feces are even all over the streets, and the smell of scratching can make people faint directly, in desperation, the eldest prince finally reached out to the royal family of Gary to ask for money, and the free city must be expanded according to the plan, otherwise there will be no way to run at all.

In the face of this money, the royal family quickly turned over, and sent the royal family's construction corps, responsible for the expansion of the free city, the reason why it is so happy, is because the development potential of the free city is too great, once the development is good, the profit it brings is simply immeasurable, can be worth half of the principality's total taxes!

After receiving a large amount of aid funds and the help of the construction corps, the eldest prince finally threw off his hands, and all the 300 billion aid funds were smashed, and the free city was soon built three times, and the environment in the city was finally improved.

However, although the environment has improved, what makes the eldest prince depressed is that there is still no income, and although the newly expanded area and shops belong to the city lord's mansion, the number is relatively small after all, and the location is remote, and the rent is very low.

Faced with this situation, the eldest prince really had no choice but to write to the royal family to inquire about the way to deal with it, and after repeated arguments, the royal financial department gave an opinion and adjusted the tax rate from 20 percent to 30 percent, that is, three taxes and one tax! Only in this way can the free city have a large amount of surplus!

Indeed, this account is correct, if Lu Yi is here, he can probably only do this, after all...... After the store is lost, if the ratio of three taxes and one is not set, it will indeed lose money, and it will be the same for whoever comes.

But the problem now is that when the tax rate reaches three taxes and one, the model of the free city is destroyed, and the merchant no longer has a profit, so he will not sell goods in the free city, but after resting here for a while, he will pull himself to the destination to sell, instead of turning around here.

The reason why everyone changes hands here is that the tax rate is low and the consumption is low, but now it has changed from five taxes to three taxes and one, and the tax rate has almost doubled, and the profits in it are very small, and there is no need to change hands at all.

(To be continued)