Theory of Government in Ancient India (Post-Vedic) c6.156

c6.156

To defray the expenses of administration, the Mahâbhârata provides the king with ample revenue and lays down some principles of taxation. In Hindu Theory, the justification of taxation is that it is the price which the subjects pay for the protection they receive. This is one of the assurances which the people had given to the first king Manu. The king was entitled to a sixth of the yield of the soil, that is, of the gross produce. This was supplemented by customs, again on the theory that merchants must pay for the protection which the state extended to them. In determining their contributions, regard should be had of the amount of their sales, purchases, profits and standard of living. Fines and forfeitures levied upon offenders were another source of income. But it is laid down that the real object of these punishments is not to fill the treasury but to strike alarm. In a curious passage, Arjuna remarks that Brāhmaṇas should be punished by word of mouth, Kṣatriyas with restriction to bare sustenance and Vaiśyas with fines and forfeiture of property. Artisans should be taxed on an evaluation of their manufactures, their expenses and receipts and their general prosperity. Thus, both the producer and the king would share in the profits. It will appear that Brāhmaṇas who practised neither agriculture nor handicrafts nor trade were to be exempt from taxation. All the wealth in the world, says the Mahābhārata, belongs to the Kṣatriya, but he should not touch the wealth dedicated to deities nor that belonging to performers of sacrifices. But if the Brāhmaṇas forsake their true vocation they are to be taxed like the followers of the callings which they adopt. On the whole subject of taxes the Mahābhārata lays down the rule that only those taxes which have been sanctioned by the scriptures should be levied. Otherwise, the king wrongs his own self and, as it were, cuts off the udders of a cow. Another rule is that taxation should correspond to the prosperity of the people. The land-tax should never be so heavy as to induce the agriculturists to emigrate. The burdens on the subjects are to be increased like burdens on a young bullock. Taxes may be high but never so high as to emasculate the people. If the kingdom is drained over much, the subjects will be incapable of accomplishing anything great. The king should tax the people like a bee gathering honey from flowers or like the leech mildly drawing blood. Let him bear in mind the analogy of the calf. A calf, deprived of the due supply of milk can never be very