Who pays for tax discounts?

Myabe it’s not good to compare the real world with Video game, but it would be good comparison in this case.

For example if I have trasportation company, and governement decide that some group of people will have reduced price for a tickets I will get the discounted part from Gov. I.e. tickets costs $2, but students pays only $1 so second $1 will be at the refunded to me from gov.

In game we have the same situation. Company owns a city, set the taxes for property, trade or workshops. Some magic power decides that players have discounts in all of them (Territory standing cards) and pay less. So a question raises: Who will pay a difference?

Example: Tier 4 house (20k base price) tax: 10% so I assume company should get 2k from tax of that property - but property owner has 20% of dicount and pays only 1600?

Who will pay the missing 400? - I know who - nobody, but why it happens?

Don’t you think that owning company should get entire TAX based on tax rate (eventually discounted for company members) ??

I don’t have a city on my own (neither my company) but I see a lack of upgrades in my server and complaining that companies has no gold for upgrades, maybe it helps?

I understand that applying the same logic to trade/refine/production would me more complicated that properties’ taxes but at least those one should help with improving budget?

1 Like

… THAT… is a VERY on point and accurate and insightful idea!!! I like!

I dont see the issue in tax reduction perks, but people not willing to spend gold.
The company could always increase the tax rate, but maybe is afraid of pushing players into a different region with lower tax rates (which then also wont have any profits).

Look the boards, lots of people complaining about not having gold to spend at all, the core problem is seemingly players are unable to keep good management of their own gold.

Nah, that would be basically making gold out of thin air (e.g., player pays 1400, company gets 2000 = +600 net gain = bad). The total gold amount in the world should not increase from just paying taxes.

maybe not… but it would undoubtedly not see the gold transfers to companies reduce. Imagine a year from now or at some other time, when most people have 300 reputation in a zone and they have taken massive housing discounts. What will the company do for money then to support the town?

The max discount is something along the lines of 39% i think. It’s nothing “massive”. Owning company is still getting free gold, just less of it.

If paying taxes was generating gold, then generally every other gold generating source would have to be reduced to compensate. So basically it’s a ‘take from the poor and give even more to the already rich’ kind of idea.

After redistributing and rebalancing land earnings they’ll probably need to review territory upkeep taxes as they may be a tad bit too high. But that’s different type of problem. Territory upkeep takes gold out of the game entirely, so reducing it does not affect the balance of gold gains. It would generally be balanced along other gold sinks.

I’m not disagreeing.
I’m wondering if everyone eventually reaching 39% off would not impact the town’s financials.

Well that would only become a problem if you get to a situation where no town can sustain even a one or two T5 stations. But that’s much more heavily impacted by number of players on a server. And as it is now a 300 player peak server can still sustain a fully upgraded everfall. So a full server, even if everyone had severely reduced taxes, would still be generating way more gold than is needed for upkeep.
Also, players with very high land levels would generally be also turning way more gold daily than a fresh lvl60 player. So even though they would pay less taxes per operation, they would pay much more taxes overall. Sure housing tax would be a smaller chunk of the pie, but as it is now, even with few ppl having T4 houses, housing tax constitutes 1/4-1/3 of all taxes - it’s just extremely high compared to all other taxes.

That strictly comes down to how much activity a player spends in a town.
Except for creating atunement orbs, you could spend your whole life outside any town, if this is how that person wants to play.
But the more you doing in game, the more you are paying taxes. Higher crafting, higher base price, also more low level crafting involved, adding up for a higher total sum.

Look, theoretically, one could not pay any housing taxes ever. A person that doesn’t have to have trophies, and doesn’t care to have a house with decorations, and doesn’t care for storage space. He could simply just grind raw mats to sell to make money, never even process anything, and just makes money off others.

There you pay taxes.

towns dont exactly struggle for income, some cant even waste it as fast as its earned like everfall or windsward.

the refund also only makes sense if the tax is more static but its rather fluent and can be changed fast from 5 to 25%. if there was a 14 or 30 day cooldown it might be a sensible solution but currently it would only result in people finding ways to abuse/trick the system to earn the most through those refunds to comp.

imagine making a deal with 100 comp members who all have lets say a 2.000 coin house, tax is set temp to 25% and they have a 20% discount, the deal is they pay and you refund them.

they would have to pay 500 each but due to discount this is reduced to 400, you refund all members 400 and company earns 1000 coins for nothing.

now imagine doing this with a 20.000 coin house and with more people or all members having 2-3 houses…

thus its a loophole for infinite coins…

This topic was automatically closed 30 days after the last reply. New replies are no longer allowed.