The Islam states averted indirect taxes to their citizens as they considered it illegal. These taxes were only levied to non- Muslims whose towns had been captured. By abolishing these taxes, these States generated little revenue that could not sustain them and chose to take drastic measures as sidelining their military. Wantje Fritschy talks of how certain states as Morocco that chose not to invest in their military. The Sultan of Morocco chose to reduce the country’s regular army to 2,500 men so as to cut on expenses costs. He urged his tribesmen to assist in the military with the promise of tax freedom. This only exposed the country to external threats because the tribesmen were not as trained as the army and would not defend the country to their full capacity. It resulted in loss of independence in 1912 to the French due to financial weakness.
The Ottoman Empire also taxed its military personnel as they didn’t engage directly in production. Thus, most people had to aid in military service as they lacked staff. Thereby, creating a deficit in the labor services, therefore, had to convert labor services to cash payments that generated a form of taxation. We are also informed that Moulay Slimane had to reintroduce illegal tax after the realization that the country didn’t have enough finances or means of obtaining them to subject its rebelling tribes. Thus resulted in the loss of independence in 1912 to the French due to financial weakness. Due to the abolition of indirect taxes that generates more taxes for the government.
The opposition to tax by taxpayers due to their population was another issue that led to an uprising in the Ottoman Empire. Due to the indirect taxes being very oppressive that resulted in taxpayers refusing to pay them. An example of this is urban crafts in Egypt that declined due to over taxation in the seventh century. Another constraint was the fact that the Sultan was the governing body of taxation and its regulation. And its military was involved in governance.
Cosgel also informs as that major urban development as hospitals, bridges, educational facilities were mainly provided and funded by private persons who had said on how taxes were to be generated in the empire.It mostly worked towards their advantage and not for the Empire’s growth thus a downfall for the empire. Most cities in the Islam states were mainly inland due to long distance trade thriving in the start. It facilitated the Sultan to build garrison on borders that collected tax on these points. Which promoted corruption along the boundary region which didn’t facilitate sufficient tax collection nor promote fair trade. It is true especially after Ottoman Empire focused on tax farming, which outdid trade as a source of tax. Where this tax system encouraged corruption
Yahya “actual vivification” is the cultivation of wasteland that has not been initially reclaimed, owned by irrigating it and channeling water for public use. Anyone can’t hold such kind unless through legal transactions, sale or inheritance. Even after being abandoned for more than three years. Muslim empires would, therefore, declare war on non-Muslim states and perform the Yahya so as an increase in its geographical territories. It facilitated capturing a lot of non- Muslims as their members who would pay taxes as it was illegal to charge Muslims a higher tax. It’s evident in Sharia law that prohibits charging and paying of interest. Therefore, they had to innovate in the collection of tax by capturing the non- Muslims.
After reading Cosgel(2005), I do not concur with Muslims conducting a jizya to gather more taxes as taxes they charged differed across regions due to diversification. An example would be How Ottoman Empire had different methods of tax collection in the cities it had conquered, as in Asia where personal taxes were on taxable to male counterparts only, and tax rate varied according to marital status. In Europe, especially Hungary, the personal tax was subjected according to gate tax. While there was no personal tax levied in Jerusalem
Another revenue generating program for the Muslims would be the Sukuk that facilitate generation of income through the interests it generates. It’s because it’s an asset that is leased and generates revenue for the lessor and lessee can benefit from its liquidity that acquire funds at a lower cost. The Sukuk has been recognized globally with bodies as and International Bank for Reconstruction and Development (IBRD) have issued Sukuk in Malaysia for financing development projects.