(The computer broke down today and was repaired only at night. I stayed up late to upload this chapter. Brothers, please collect and recommend it!)

Looking at Duan Qirui's eager eyes, Li Changgeng smiled and stretched out his two fingers, "At most 20%!"

"Only 20%? At least 50%?"

"Prime Minister, you can also say the 50% of the fiscal taxes submitted, so I might as well give the tariffs to you to collect them yourself. Tariffs are not calculated like this, you are just an economic strait, and tariffs can safeguard national sovereignty and economic interests; protect and promote the development of industrial and agricultural production in the country; regulate the national economy and foreign trade; and finally raise national fiscal revenue.

I said that at most 20% of the tariff is responsible. If you are irresponsible, you can reach your 50% requirement. But if you believe it or not, the actual benefits I can get without tax evasion are far more than the 20% I promised to give you. If you do not agree to the share requirements, I can pay 30 million taels of kuping silver to the central government every year."

Hearing that Duan Qirui of Kupingyin was much more humble, he breathed a sigh of relief, calmed down and asked, "Can you say more? I have some financial weaknesses."

Li Changgeng then got the initiative in his speech, and his tone became much harder, "You are not really flawed, you are just economically blind, I really don't know what courage you have to be the prime minister. Well, I'm scanning for you for literacy. Tariffs are divided into two types: fiscal tariffs and protective tariffs.

Fiscal tariffs are mainly used to increase national fiscal revenue. They are usually levied on products with large domestic consumption demands. The tax rate is moderate, which is what you know. Another type is called protection tariffs, which are levied to protect domestic economic industries, agriculture, etc.; the conditions for imposing fiscal tariffs: ① The import demand of goods is inelastic, ② The tax rate should not be too high, ③ The tax rate is too high to the point where imports are completely prohibited, which is a prohibited tariff."

It was the first time Duan Qirui heard about tariffs and these tricks, and he didn't care about Li Changgeng's mockery of him in his words, "Can you say it in detail?"

"Okay, let me tell you something practical and easy to understand. Although China is an agricultural country, it has a large population, so food should be avoided from bulk exports, causing domestic food shortages. However, when foreign grain prices are higher than domestic, food outflows will inevitably occur. Then we will increase tariffs on grain exports to reduce such outflows. If foreign grain prices are lower than domestic and domestic grain can meet demand, then we must increase import tariffs to protect domestic grain prices and prevent low grain from hurting farmers.

For example, labor-intensive industries such as textiles and light industrial products can create a large number of job-related export products. We need to give appropriate tax cuts or even export tax rebates. On the contrary, we need to increase import taxes for foreign textile products to protect the competitiveness of similar domestic products.

For example, when importing products such as production machinery, if there is no domestic situation, we have to provide tax exemption or tax refund subsidies, but when importing luxury goods such as automobile watches, we need to increase official taxes. In short, tariffs are an important step for a country to adjust its economy and protect domestic industrial and agricultural production."

"Well, Duan understood a little, but the textile products you told you can be taxed without taxation, so why do you still need a tax refund?"

"Oh, you really don't understand. Take cotton textile for example. Cotton grows from farmlands. Planting and harvesting in spring depends on the hard work of farmers in the year. If we export cotton, the price will definitely be suppressed by comprador capital, and the cotton cannot be eaten. This will cause no farmers to plant cotton next year. The domestic cotton production will be insufficient in the second year. Cotton imported by comprador capital will definitely increase the price. Therefore, this kind of agricultural primary product does not have market competitiveness without forming international competitiveness in scale. Especially in the case of a large population like China and with sparse land, oil must be pressed out for every part of the land. After the cotton comes out, it must first be spinned into yarn, weaving, printing and dyeing, and finally make clothing and textile products.

One link is that from upstream agriculture to downstream production and trade, how many employed workers can be created? These people have to support their families, live and consume, which will increase the amount of wealth to society. These wealth is truly earned by the people through exports. The people have this money in their hands, so they need to eat, wear, live, and transportation, and these consumptions are not creating taxes for the country.

There is another point where textiles are labor-intensive, and their physical strength requirements are not high. They require long-term mechanical repetition and patience and meticulousness. Women are more suitable for such positions. Most urban women in China are idle labor in the family. Using these people is equivalent to adding one-third of the working population to the country. But there is another disadvantage in this link, that is, the costs incurred by transportation. If we want to sell products to Europe, we have to compete with similar European products. European textiles have technical advantages and quality advantages. What do we have? The only one we can compete with Europeans is cost advantages, or labor cost advantages. We have sufficient and low labor costs. As long as the things are sold at a low price, we don’t have to worry about the market’s disapproval.

There is a rule for light industrial products, that is, the larger the scale, the more obvious the cost advantage, and the market consumption will increase accordingly."

Duan Qirui picked up the cup on the table and drank a sip of tea. After thinking for a while, his eyes flashed, as if he found a loophole in Li Changgeng's words. "Duan understands a little, but does the Northeast Autonomous Government have the ability to complete the tariff refund you mentioned?"

Li Changgeng was able to talk about this, so he was naturally not afraid of Duan Qirui asking questions, "Since the Northeast Autonomous Government recovered the tariffs, it has been implementing protection tax policies for three years. Judging from the actual situation, the effect is very good. Of course, there are factors in the European War, but overall, such policies are conducive to the national industrialization process. In the past, tariffs were held in the hands of foreigners, and they collected whatever they wanted. In fact, it is inverted to what I mentioned in the protection tariff policy, and they collected as much as they benefit foreigners.

Therefore, the importance of tariffs is to call on the long-term development of the domestic economy. It is impossible to be eager to achieve success. This is the draft plan for the implementation of China's tariffs issued by our Heilongjiang government. It plans to collect and implement the following measures and regulations for adjudication tariffs, quantity tariffs, mixed tariffs, select tariffs, and sliding tariffs. Please take a look at them, the President and the Prime Minister."

After Li Changgeng finished speaking, he asked the secretary to take out a large piece of 16-two centimeters thick and put it on the table. Xu Shichang and Duan Qirui immediately understood that Li Changgeng had plans and came prepared today. He also saw that the ambition of the Northeast Autonomous Government was definitely not a plan to stay alone. Li Changgeng smiled easily and confidently and said, "This is just a draft. When implementing it in detail, it must also make a lot of corrections and deletions based on the actual situation in various places."

Xu Shichang flipped through a few times, then pushed the draft to Duan Qirui, knocked on the table a few times, and said to Li Changgeng: "Qi Ming is really a scheming person. Can you give Xu and the Prime Minister some time to learn more about it? In addition, is it best to have authoritative matters with approval from the Congress?"

"The President is right, but Geng heard that those people in the direct line have criticized the legitimacy of the current Congress recently. I think the President and the Prime Minister nodded in this matter. The people in the Congress are just going through the motions. To be honest, Chang Geng came to Beijing to discuss his intentions with the two of them. The next stop is to go to Shanghai and talk to the compradors. If everyone understands it, it will be easier to implement it? Although the Northeast Autonomous Government is beneficial in this matter, it also takes great risks. If those people in the south are not at ease, there will be a big mess."

Threat, naked threat, the picture is revealed! Xu Shichang and Duan Qirui then understood what was Li Changgeng’s confidence in coming to negotiate. Why did they both imprison them on the airship for negotiation? They were carrots and sticks. If they were obedient, they would pay some tariffs to you, so that you could sit in the central government. If they were not obedient, they would support the Direct. I believe that in order to get the support of the Northeast Autonomous Government, a tariff that could not be seen or touched is nothing!
Chapter completed!