Granting tax exemption to Leon's flag actually means that industries using Leon's flag do not have to pay taxes anywhere under Ulrich's direct jurisdiction.
In other words, in the territories directly under Ulric, such as Fierce Lion City and Changhe Town, branches and shops do not have to pay taxes. As long as they fly Leon's griffin flag, the tax officials have no right to intervene.
This is certainly a valuable privilege, and it is indeed beneficial to both Leon and King Ulric, so it is not wrong to call it compensation.
The king himself is in urgent need of funds, and it is not easy to raise a large amount of cash in a short period of time. If he can get 100,000 dinars from Leon, it will solve Ulrich's urgent needs.
What is the concept of 100,000 dinars? A duke like Alma, who owns a territory like Lion Lake City, would only earn about 100,000 dinars a year if he only looked at the tax revenue from the territory.
The total population of the entire county of Lion Lake City is 100,000, and each person provides the Duke with almost one dinar.
Of course, this only refers to the territory taxes that can go into the Duke's pocket, and does not include his other private properties.
Although it seems that the average tax of only one dinar per person to the Duke is quite low, the actual situation is that the average civilians in the Fierce Lion Territory need to pay more than ten dinars in taxes per year, which is more than half of the average annual income.
Because the duke also had to pay taxes to the country, and it was not the great nobles like the duke who collected taxes directly from the civilians, but the duke's subordinates, the tax collectors led by the knights.
The actual tax amount in most knight territories accounts for more than half of the residents' income. After all, the knights have to support themselves and their followers, and also pay taxes to their superiors.
One hundred thousand dinars per year is actually not a lot. If you really calculate it carefully, it is just the price of purchasing hundreds of thousands of sets of high-quality weapons and equipment.
If you were to buy horses, two hundred war horses or more than three hundred draft horses, it would cost one hundred thousand dinars.
So don't think that lords like the Duke are very wealthy. Although they have a large territory and strong power, their corresponding expenses are also high, and they really can't take out large amounts of cash anytime and anywhere.
The king is not rich either. Although King Ulric has been expanding his direct jurisdiction recently, Changhe Town has just been taken back under his direct jurisdiction in name and has no income yet, so he can only rely on Sarleon City.
The territory of Sarleon City is relatively wealthy. As the capital, the surrounding area is home to nearly 400,000 people, and the territory's annual income is more than 300,000 dinars - this refers to the king's personal income, not the country's fiscal revenue.
After all, the current population of the Kingdom of Sarleon that can be counted is only two million, and the residents of the king's direct jurisdiction account for 20% of them, which is actually a very large proportion.
Of course, it can't be compared with the Pendor Kingdom period...
Before the Red Death struck Pendor, the population of the capital area was over one million.
The sharp decline in population was mainly caused by the Red Death and war that lasted for more than a hundred years. Before the Red Death, the total population of Pendor was about 24 million, but now, the total population of the entire continent may be only about 10 million.
Therefore, Emperor Marius of the Bacchus Empire issued a policy that those who did not get married would be subject to hard labor in order to increase the population.
The income from the king's direct territory is the king's private property, which is used for the expenses of the royal palace and his own direct territory, and also includes the support of some private troops, such as the royal guards.
One hundred thousand dinars was one-third of the king's annual income, and was a huge sum of money for him.
The king's private property is different from the country's fiscal revenue.
The national fiscal revenue is of course more than the king's personal income, which is maintained by the taxes paid by the nobles, that is, the taxes received from other noble territories, most of the time they are apportioned annually in the form of tasks according to the size .
This money is managed by the kingdom's finance minister and used according to the annual fiscal budget. It is public funds and the king has no right to use it at will.
For example, the funds may be used for important border military locations such as the Qicha Fortress, for disaster relief, road construction, and maintenance of infrastructure throughout the kingdom, or for subsidies to border lords, infrastructure construction, or for wars, etc.
As a national knightly order, the Lion Knights can also receive some subsidies from the national treasury.
Of course, the main source of income for the Lion Knights is the membership fees paid by the Lion Knights, but this is far from enough to cover the expenses. King Ulrich himself will also pay out of his own pocket to provide some subsidies to ensure the loyalty of the Lion Knights to him.
The national finances are never enough, and cannot be used to satisfy the king’s selfish desires. Instead, the king needs to use his private property to fill some gaps from time to time.
Since money needs to be spent everywhere, the king is actually more short of money than the average noble.
Ulrich knew that Leon's business was quite large. If Leon's caravans could enjoy full tax exemption in his territory, then Maixiang Company's industry would surely grow rapidly, which would actually quickly boost the overall economy in the jurisdiction.
Although Le Ang's industry is tax-free, this actually brings greater benefits to the king's own territory - after the business is revitalized, various transactions will increase. If Maixiang Company operates more business in the king's direct territory, other merchants will also come frequently.
The king could receive more commercial taxes from other merchants.
Rulers use tax-free policies to attract investment. This method has been used throughout history and is actually quite reasonable.
Considering the scale of Leon's business, using 100,000 dinars to exchange for tax exemption rights, or to buy out all future commercial taxes in the king's direct jurisdiction, seems a reasonable price.
As of now, the total amount of commercial taxes paid by the branches and agents under the Maixiang Company to the local lords in half a year has exceeded 50,000 dinars. Although Bailu Castle and Maixiang Territory do not collect taxes, branches opened in other lords' territories must pay commercial taxes, and the tax amount in each place is different.
But those branches were located in other cities and towns, and the commercial taxes were paid to local lords and did not go into the king's pocket.
Of course, the commercial taxes paid in the jurisdiction of Lieshi City and Changhe Town belong to the king. The total amount of these commercial taxes has reached nearly 20,000 dinars, and is increasing every month.
If you do the math, a one-time investment of 100,000 dinars followed by lifetime tax exemption is indeed a good deal.
Ulrich's plan was a good one, and Leon was indeed tempted.
For others, this deal may just mean paying taxes for three to five years in one go, and then being tax-free for life.
But for Leon, it was different. This could be considered as the king giving the lord a highly profitable industry...
After all, the king didn't quite understand what kind of businessman Li Ang was...
Maixiang International is a group company.
If you join the Maixiang Group, you can be completely tax-free in the areas of Liesion City and Changhe Town...
Then Li Ang could even point at the map, divide it into various industries, and directly sell the operating qualifications of the branches of Maixiang Group in the duty-free zone, and sell it on an annual basis!
Just collecting operating fees and deposits every year can make a country rich enough to rival a country...
When the griffin flag can represent the privilege of tax exemption, Leon can bring most of the merchants in the country under his command!
In comparison, 100,000 dinars is nothing...
However, even though he was secretly happy, Li Ang still showed a dissatisfied expression...
"Your Majesty, this is a deal, not compensation. I am willing to make a fair deal, but before that, I am more concerned about how to restore my reputation."
The Lord looks serious.
Ulrich was silent for a moment.
What Li Ang said made sense. The king captured the man and then released him. Although this did not harm Li Ang, it did damage the reputation of a noble like Li Ang. After all, it meant that the king was doubting him.
"I will find a way to help you raise 100,000 dinars. But I hope you can grant me the power to use the golden emblem - that is, in addition to exempting commercial taxes in your direct jurisdiction, I can also freely expand my territory and fight against rebellion. This will show that you do not regard me as a traitor, but as a rebel, and this will save my reputation."
Li Ang made a counter-offer for the deal.
In the Kingdom of Sarleon, a golden coat of arms represents privileges equal to those of the royal family.
This was a reasonable counter-offer, as the privilege of using the golden emblem would only be granted to trusted and close lords, which would indeed negate the impact of Ulrik's suspicion of treason.
The Lord is always fair when it comes to deals.
Ulric claimed that Leon's banner would be granted "privileges that can only be obtained by royal property", so Leon simply countered with "the same privileges as members of the royal family"...
Of course, there is a huge difference between these two logics.
However, if you ask for a high price, you should pay it back. Business is negotiated...
The golden emblem is more than just tax exemption, it represents the power to freely fight rebellion - the ability to independently attack hostile forces and directly occupy independently conquered territories.
Of course, they are limited to attacking hostile forces or rebels. They cannot arbitrarily provoke disputes or declare war on behalf of the country.
However, this kind of freedom to rebel and have the right to occupy the territory conquered alone is rare. Currently, no noble in the entire kingdom has this authority.
Only a hundred years ago, when Alfred was still Duke of Sarleon, had he been granted this privilege.
At that time he changed his coat of arms to a pure golden lion.
Therefore, after he founded the Kingdom of Sarleon, the pure golden emblem was given this special meaning.
Ulrich naturally knew what the golden emblem meant.
"You want to be given the right to freely fight against rebellion to prove your loyalty? This is indeed a reasonable request. However, fighting against rebellion... Where is the rebellion now?"
Ulrich hesitated and shook his head.
"Isn't Rainier a traitor? Isn't Eldred a traitor? I just want to contribute to the country. If there are traitors again, I will take the initiative to fight them, and the territory I conquer will belong to me. That's all I want."
Of course Li Ang did not give up. He explained that he was thinking about the country and made it clear that he did have selfish motives, but such selfishness was justified.
"But do you have the ability to defeat rebellion?"
King Ulric looked at Leon deeply.
"I have killed two of them... one of them you saw with your own eyes."
Li Ang spread his hands.
"...Okay, deal. I hope you won't die at the hands of the rebels. But you have to send me 100,000 dinars within a month..."
Ulrich nodded in agreement, but there was an obvious haze in his eyes.
He really needs money.
After all, he is the king. If he can grant authority now, he can naturally take it back in the future. Ulrich is not too worried about Leon, a small baron.
Half a day later, Ulric had Grand Maester Igor issue a notice in the King's Square in Sarleon, allowing Leon to make the emblem pattern pure gold.
This color is indeed dyed with real gold and is worth 100,000 dinars.
Grand Secretary Igor read out the king's authorization in front of the officials of the House of Nobles with an expressionless face, and then hung the authorization letter on the bulletin board of the House of Nobles.
After issuing this announcement, Igor turned and entered the high tower of the Old House of Nobles, which was the king’s private residence, but Philina no longer lived in the garden.
"Your Highness, Leon has been released, and His Majesty the King has even protected his property. Perhaps you can only wait patiently..."
On the top floor of the high tower of the Old House of Nobles, Igor stood respectfully behind a gloomy young man.
This young man was Alanric, only son of King Ulric and Prince of Sarleon.
The prince was only in his twenties, but he looked lifeless, pale, and seemed to be in poor health.
"Igor, this is not the result I want, you know..."
Alanric stood at the top-floor window, looking down at the busy crowd below the city, and spoke lightly.
"Your Highness, who would have thought that the Bacchus Empire would attack White Hart Castle at this time? I have already convinced His Majesty the King that Leon would indeed be labeled a traitor as you wished, but under the current circumstances, His Majesty the King cannot ignore the safety of the border..."
Igor looked at Alanrik's thin back and lowered his head.
"No, this is exactly the best situation... Igor, if Leon died in Sarleon City at this time, what would the nobles think?"
Alanric turned his head and rubbed his arm that had been leaning against the window frame.
It seemed that just this movement could make his arms sore.
"The Baccus Empire is attacking White Hart Keep right now. If Leon dies in Sarleon at this time, the nobles will lose , Your Highness. If you try to seize the vassal's property for your own selfish desires... and if you fail, you kill people, regardless of the safety of the kingdom... Under such circumstances, at least half of the nobles will no longer obey your father's orders, and Sarleon will inevitably start a civil war."
Igor looked up and glanced at Alanrik 's arm with a complicated look.
There were several clear purple blood spots on Alanric's arms, exactly the same as the blood spots on King Ulric's body.
"Since you know, then find a way to kill him. Didn't you just hire some adventurers for my father? The 'Griffin Sword' adventure group... Let that adventure group kill him, and then we can put the blame on my father."
Alanric squeezed his arm and gave unbelievable instructions in a casual tone.
"Your Highness, if you do this, those nobles may indeed oppose the king, but they may not necessarily support you!"
Igor looked up in surprise. He didn't expect the prince to suddenly give such an order.
"Igor, my uncle... Duke Brunus of Cliff Bay will support me; Duke Alma has a grudge against Leon, and I helped him a few days ago, so he will also support me; if the king kills Leon, then Philina and Godric will also support me... The great lords of all factions, plus you, that's enough..."
Alanric twisted his wrist and walked to an easel.
There was a lifelike oil painting on the shelf, depicting a boy of seven or eight years old riding on a horse with the help of the king.
That boy was Alan Rick.
But the young him in the painting looks much more energetic than he does now as an adult.
"Your Highness, your father is not going to live long. You don't have to worry so much. His Majesty let him go just to get a bigger inheritance from him in the future..."
Igor seemed to want to persuade him further.
"Ha, but those more assets have nothing to do with me, Igor... You should know why my father went to find the Noldor girl."
Alanric stared at the painting, his voice so low that it seemed to come from hell.
"It is said that the blood of the Noldor is not susceptible to many diseases... Your Majesty is doing this for the future of the kingdom."
Igor didn't look up, his voice was low.
"The future of the kingdom? Ha! But what does that have to do with me?... I've been infected with the disease! I have no future at all!"
Alanric showed a trace of madness on his face. He looked at his arms and clenched his hands into fists.
Igor sighed deeply and stopped talking.
"Igor, my uncle...
You know, I have no future, and I'm already experiencing symptoms now... I can't wait!
But he went to find the Noldor girl not for healing, nor for me! Instead, he wanted to give me another brother!
Hum...hahaha...I heard what the three prophets said to him in the secret room! He didn't want me, who was destined to be ill, to inherit the throne! He wanted to give birth to another healthy heir!
Igor, what about me? What about me?!
I just want the throne that is mine!
I may die in ten years, but I am the heir to the kingdom! I can't be locked in a tower forever and be unknown!
You know, only I can give you everything you want, and you will become a great duke!
You know, I will do better than my father... He was able to find a noble girl from Noldor to continue his healthy bloodline, and so can I. The future of Sarleon will still be better!
Kill Leon and let the king bear the crime of murdering the nobles, and the nobles will definitely help me to the throne! "
Alanric gradually lost control and there was even a murderous look in his eyes.
Igor looked up at Alanric and gave a bitter smile: "Kid, this will cause chaos in the kingdom!"
"So what? Uncle, I don't have that much time to wait. If I don't do something, I'm afraid I will die before my father! I don't believe in those three witches! I don't want to live a hundred years, I just want to get what I deserve!"
Alanric's voice became more and more excited, but his expression became more and more lonely.
"Oh... I see... I'll make arrangements right away. He's always under my surveillance."
Igor frowned deeply and left the room.
Alanric turned around again and looked at the palace opposite from the highest window in the entire Sarleon City.
“Father, maybe you are doing this for the future of our family, but this is not fair…not fair.”
He murmured in a low voice towards the palace dome.