Chapter 1991 - New Australian Tricks (Continued)
"Naturally. Team Leader Chen came by yesterday and explained the whole system. The stickers come in three tiers—white, green, and blue, in ascending order. This white one shows we've paid our taxes properly once. My family just started paying last month, so we've only earned white. To get the green sticker, you need two consecutive quarters of timely payment. Blue? That takes four quarters straight—a full year of compliance. Shopkeeper Tong across the way was among the first to pay back in the new year. He's one of only two establishments on this entire street with a green sticker. You should see how he struts about these days."
"Haha! That old skinflint Tong is actually happy to pay taxes? The Chiefs' methods truly are remarkable."
"Brother Yu, you just don't understand." Dong Mingdang shifted almost imperceptibly from the formal "Li Officer" to the familiar "Brother Yu"—a change that sent Li Ziyu's heart racing. "An iron rooster may be stubborn, but even it cannot resist Australian steel pincers. Now look here, beside the sticker—what else do you notice?"
"Arabic numerals. I can read those. A red number one."
"Exactly—another layer to their scheme. The '1' indicates my shop is classified as Level One, the lowest tier for annual turnover. Red means business is decent. Black would indicate merely average trade. At Level One, the annual tax burden is just one tael of silver—less than three mace per quarter. That's two yuan and fifty cents in the new currency. Shopkeeper Tong is Level Two, so his quarterly assessment runs to four yuan. Now, you might think we're paying extra for nothing, but the benefits are substantial. Take Delong, for instance. You've heard of them, yes? In the past, Delong only extended loans to major enterprises, and their interest rates were far below the street average. Recently, word is they're planning to serve smaller establishments as well..."
"What does Delong's lending have to do with Finance and Tax Bureau stickers?"
"Everything. To qualify for a Delong loan, you must first hold at least a Level Two classification. Then you need a full year of timely tax payment—meaning your sticker must turn blue. Shopkeeper Tong is already Level Two. As long as he maintains compliance through the second half of this year and earns his blue sticker, he can apply for Delong financing. That's what has him so pleased. Every merchant faces lean periods. When you're short on silver and can secure funds from Delong, the savings on interest alone are tremendous. More importantly, everyone knows Delong is backed by the Chiefs. Borrowing from Delong means the Chiefs themselves have a stake in your business. Those street thugs who might otherwise try to extort or muscle in think twice when they realize that ruining your shop means the money can't be repaid—and then the shopkeeper goes crying to the Chiefs. Can they afford that kind of trouble?"
"Brilliant. Truly brilliant. Though I suspect the Chiefs didn't anticipate that last advantage." Li Ziyu paused, thinking. "By that logic, wouldn't someone like Master Gao Ju display a Level Three sticker?"
"Master Gao? He's a merchant prince—hardly in the same category as us small-time shopkeepers." Dong Mingdang laughed self-deprecatingly as she refilled Li Ziyu's tea. "I've heard from Shopkeeper Tong that these Level One and Level Two classifications are for us... well, for small establishments paying the fixed levy. Merchant princes and major houses like Master Gao's fall under 'Audit Collection.' His sticker is a gleaming brass coin embossed with auspicious clouds—much larger and more impressive than ours. Not only that, but it's mounted in a glass frame. The most remarkable part? Below the brass coin, a row of bold Arabic numerals displays the total amount of tax he's paid."
"Why would he want to advertise how much tax he's paid?"
"Ah, this gets complicated. Brother Yu, your family isn't in trade, correct?"
"No, but I have friends in business."
"Then you can ask them. The first principle of trade is maintaining face—what we call 'scene.' Back in the old days, you'd see green-curtained sedan chairs everywhere, and famous courtesans commanding thousands upon thousands of taels. Why such extravagance? Because others can't see your account books. They judge your capability based on your visible display of wealth. The grander your scene, the more others trust your resources and reputation—and the more willing they are to do business with you. We small establishments don't worry much about this; we rely on word of mouth and neighborhood goodwill. But major houses like Master Gao's stake everything on maintaining that prestige."
Dong Mingdang sipped her tea before continuing. "Since Guangzhou's liberation over a year ago, everyone has witnessed how the Australians operate. What they're entitled to collect, they take without flexibility—but what they're not entitled to, they absolutely refuse, even when offered. Any subordinate caught skimming is punished severely. When assessing taxes, they practically count it out on their fingers, explaining each calculation. Compared to the Ming's chaotic and arbitrary levies, it's like the difference between clouds and mud. So once that sticker goes up, it's tantamount to announcing: 'I can afford to pay this much in taxes—naturally, my business handles serious money.' Who could doubt your credibility after that? It's far more effective than purchasing a dozen green-curtained glass-windowed sedan chairs."
"Brother Yu! Brother Yu!" Just as Li Ziyu was about to inquire about Dong Mingdang's new clothing, Zhao Gui came rushing in from outside, scratching at his crotch. "Ah Juan's here—looks like she's searching for you."
"Ah Juan?" Li Ziyu was puzzled. The area Zeng Juan was responsible for didn't overlap with his beat. Why would she come during working hours?
"Brother Yu... I knew you'd be at Miss Dong's..." Zeng Juan drawled, eyeing the pair with barely concealed mischief.
"Out, out, let's talk outside." Seeing the situation developing, Li Ziyu hurriedly ushered Zeng Juan toward the street. "What's the matter?"
"Take this. You're coming with me to Ah Yu's shop."
"Ah Yu's shop?" Li Ziyu opened the document she handed him and read:
Guangzhou City Police Bureau:
Our Bureau Comrade Zeng Juan must travel to Zhang Family Father and Son Food Company on official business to handle a tax-related case. We request your Bureau coordinate police escort.
Guangzhou City Finance and Tax Bureau
August 10, 1636
In the space below, Director Mu Min had written: Approved. Transfer to relevant precinct. On the second line, the Bureau Section Chief's notation read: Assign Comrade Li Ziyu and Zhao Gui as escorts.—Lian Nishang
"Isn't Ah Yu at Great World these days?"
"He's been at the old shop recently. Come on. It's just procedure."
Li Ziyu didn't mind escort duty. He'd be patrolling the streets anyway, and besides, his conversation with Miss Dong had put him in excellent spirits.
"Ah Juan, you're not actually going to arrest Ah Yu, are you?" Li Ziyu teased.
"No, no—Ah Yu hasn't done anything wrong. Remember when he mentioned buying land?"
"Yes, I remember."
"The contract had some irregularities. The Bureau has decided to have him void it and re-sign, then pay supplemental tax. He's not being held responsible."
"Well, that's a relief. Any problem that can be solved with money isn't really a problem." Li Ziyu glanced behind Zeng Juan. "You're going on assignment alone?"
By now, Ziyu had become an old hand in Australian government service. He knew their standard operating procedures—assignments typically required at least two people.
"Comrade Xu is with me. I sent him ahead to wait for us. If not for needing you and Ah Gui's signatures on the return receipt for this document, I wouldn't have bothered tracking you down."
"Male?"
"Of course." Zeng Juan looked baffled by the question.
"Then why did Comrade Li, who manages this street, have a woman in his group last week? He said every group has one."
"Oh, that. It's a new Bureau initiative—practical training to cultivate multi-skilled personnel. After the collection period ends, Director Zhang arranged for the Tax Hall to leave only two or three people on duty while everyone else reinforces the frontline for hands-on learning. In two more days, once the reports are finished, even the women from the Tax Statistics Division will come to the field. Your street isn't a priority area, so you only got one person assigned. Key districts can receive up to three reinforcements per group."
"Three people... Ah Juan, you're in for some good fortune..."
"What fortune? I'm just a tax officer." Zeng Juan smacked her lips with regret. "They're going to the Tax Assessment Division. They won't pay attention to us rookies."
"Tax Assessment Division?" Li Ziyu immediately thought of Dong's shop. "By the way, Ah Juan, I saw the sticker on Miss Dong's wall just now. According to her explanation, your Finance and Tax Bureau has quite a few... intricacies."
"All conceived by the three Chiefs. Once we post these, we'll still need to trouble you police folk."
"How does this concern us?"
"Nothing major. You noticed the colored Arabic numerals on each sticker, right?"
"Miss Dong explained it. She said the color indicates how good the business is."
"Not quite. The color doesn't indicate business quality—it's assigned based on business quality. The Chiefs pointed out that we tax officers and the Assessment Division have limited personnel. It's impossible for us to visit every household daily. So concerning which shops on the street are thriving and which are struggling, you patrol police actually know better than we do."
"That's certainly true..." Li Ziyu reflected. On his beat, he could identify nine out of ten businesses that were prospering versus those barely scraping by. Even when uncertain, he could ask the neighborhood gossips—given his familiarity, they'd give him accurate information.
"So, first: if you notice a shop with obviously strong business for several days running but still displaying a black numeral, notify our Finance and Tax Bureau. We'll send a specialist to verify whether they need a higher classification. Second: monitor whether shops display the proper certificates and stickers. If a business is clearly operating but has no tax sticker on the wall, report it..."
"Here we go again! You really do treat us police like street dogs. You want us watching whether the roads are passable, whether there are vagrants or beggars, whether the sanitation is adequate—and now this too?"
"Wait, wait, wait—Brother Yu, let me finish. Our Director calls this 'Comprehensive Tax Governance,' understand? Don't understand? Fine. Just know that helping us keep watch isn't volunteer work. The Finance and Tax Bureau will allocate funds from a special budget to subsidize you. Not much—about seven or eight cents per person monthly."
"Really?"
"Of course. Our Finance and Tax Bureau's commitments are good as gold. The Chiefs of several units have already countersigned the documents. Our Bureau received internal notification. You should get yours soon. How about it? Just keeping an eye out during your regular patrols earns you two days' extra wages for nothing. Not bad, right?"