WI: French Ancien Regime/Revolution imposes income tax

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Deleted member 67076

So I've been reading that the first modern income taxes in France didn't occur until 1872. This I found interesting given the history of France's financial history and I can't help but wonder, what the impact would be if modern progressive income taxes were levied much earlier, either through during the Revolution or during the Ancien Regime.

And of course, if such a thing is plausible. Would other states quickly follow the French Model? If so, what happens then?
 
They would probably not be able to calculate this at such an early point in time, at least IIRC that is what i have read, although I might be wrong about the timing of when it would be possible.
 

Deleted member 67076

They would probably not be able to calculate this at such an early point in time, at least IIRC that is what i have read, although I might be wrong about the timing of when it would be possible.
As in, too early for any sort of econometrics?
 
As in, too early for any sort of econometrics?

I don't think so. The UK implemented an income tax in 1799, so it should be feasible at least. My concern is more political. If the first two Estates were exempt from this, as they were with other taxes, then it might just fuel even more resentment.
 
So I've been reading that the first modern income taxes in France didn't occur until 1872. This I found interesting given the history of France's financial history and I can't help but wonder, what the impact would be if modern progressive income taxes were levied much earlier, either through during the Revolution or during the Ancien Regime.

And of course, if such a thing is plausible. Would other states quickly follow the French Model? If so, what happens then?

In the case of the Ancient Regime the “modern” system would require (a) taxing nobility and the Church (good luck with both) and (b) obtaining a reasonably complete information regarding people’s incomes. Under the Ancient Regime (a) could be a political problem but a reasonable stability of the regime would allow assess (b). Revolution would remove (a) but (b) would be an issue due to a general political and economic instability.

In Britain the 1st progressive income tax (up to 10%) was introduced in 1798 but did not produce expected revenues (£6M instead of £10M) and became permanent only in mid-XIX due to the growing budget deficit; in the US in the Russian Empire it was introduced only in the April of 1916 by the same reason.

Below is a British caricature on Pitt Jr. collecting income taxes.

upload_2019-6-10_13-28-30.jpeg



Not sure if most of the continental Europe would pick up that system in the early-/mid-XIX just because France or Britain did: it was hurting the wrong people.
 
As in, too early for any sort of econometrics?

I must admit I am no expert on tax history, but from what I understand they might have problems collecting information on income, although I am not sure at what point in time this ceased to be a problem. That point would not necessarily be the same in different countries.
 
(a) taxing nobility and the Church (good luck with both) and (b) obtaining a reasonably complete information regarding people’s incomes. Under the Ancient Regime (a) could be a political problem but a reasonable stability of the regime would allow assess (b)

The nobility of the Ancien Regime paid tax, while they were exempt from the taille they did pay the capitation which was sort of progressive in that there were 22 classes which were meant to equate to your ability to pay with increasing amounts paid at each level. Of course in reality there was massive underreporting and percentage wise it hit the lower classes much harder than the wealthy even if they wealthy paid more in absolute terms. Making the system slightly fairer may have been possible if you had an engaged Monarch willing to spend political capital on it. In OTL that didn't happen.
 
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