Foreign Loan and Debts - Taxes

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Kompetan

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Hello,

Since we do not have much information on the subject ( it might just be me though), I wanted to adress this issue.

When a country did not pay their debts they were bankrupt and the creditor got a cb on that country but that is not usually were the case and if the country is someones sphere do you risk going for a measly sum.

Enter creditor intervention, the collector should be able to force the bankrupt country to pay some of the tax collected to creditor countries maybe forcibly increase its tax rate. It is what happened to ottomans where they formed the OPDA to collect taxes and send them to the creditors at one point they had more bureaucrats than finance ministry of the ottomans.
Anotjer thing is that with regional markets and influence mechanic of victoria countries should not be able to take money from every country instead they should take it from the great power that sphered them and the countries in their regional market only an unsphered and regional power should be ask for debts from arpund the world such as ottomans.

Also, I did not want to open another thread about this but is it possible for ottomans to tax differently they had jizya and also they were leasing the right to tax the regions to rich people where they would get a sum upfront for a region than give the right to tax there. I dont know if any other country have this in the time frame but only after a maybe tax reform should ottomans be able to tax whole country.
 
Last edited:

prismaticmarcus

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and when were you going to address the issue?
 

Leoreth

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Diplomatic Plays are the answer here, I hope. Shake someone down for their debt and they have to give in or go to war with you. The difference to the previous casus belli solution is that this can bypass allies. Not even allies would necessarily be willing to defend their partner who themselves have abandoned their debt obligations. Unless they really hate the one who comes asking. The international community is probably invested in loans being repaid so they would usually come down on the side of the collector.