DP

Chapter 191

"It's because of the war damage, isn't it?"

Raymond's voice quavered.

Not just his voice, but his heart.

He was so startled that the happiness he'd felt earlier had fled without a trace.

"Yes, that's true. And while the central government has assisted us with the cost of rebuilding, there is no shortage of additional expenses that we need to raise on our own. The war and this outbreak have taken a heavy toll on mining, ranching, and wheat production, which has significantly reduced our tax base."

"Well, still, two hundred and seventy-three million pena is too much..."

Raymond's head went white.

For your information, it's only this much because of the compensation for the damages to the tower.

Otherwise, it would have been an even larger deficit.

"And what about the finances in a normal year?"

The answer was even more sobering.

"On a normal year, the deficit is small. It's about 1.27 million pena per year."

"...!"

Raymond almost screamed.

'It's not small, it's not small at all!'

He meant a 1.27 million pena hole every year!

"W-why, was it always like this before?"

Raymond asked, puzzled.

When he had researched it in the past, he had thought that the lords of the Rafalde province had enjoyed a wealthy life?

As usual, Sage Mevinson replied.

"Not so, they always had a large surplus before."

"But why?"

Mevinson the Sage replied cautiously.

"Because of the tax rate."

"What?"

"Your lordship's new tax rate is too low."

Raymond's mouth dropped open.

'Twenty percent?'

He didn't offer that low.

He was just suggesting the right tax rate.

The imperial ideal is 10%.

But in practice, it's impossible to run an estate at that rate, and 20% is considered the ideal rate.

In other words, Raymond was offering just the right rate.

"The previous lord collected about 60% in taxes, and that was for the entire Kingdom of Droton under Archduke Berard."

Raymond's mouth dropped open.

Berard, of course.

That was an insane tax rate.

Sage Mevinson spoke in an impressed voice.

"When my lord told me of the current tax rate, I was so moved by it that I wept... but it is impossible to run the estate at this rate. We must collect at least 30% in taxes to keep the estate afloat."

Raymond was silent.

"So the problem is that the province of Rafalde is poor."

"Yes, unfortunately, there is not much money to be made here in Rafalde. The terrain itself is quite harsh."