Economy of Auresia

The economy of the Auresian Empire is among the world's largest. With a strong focus on trade and business, the empire has evolved into an attractive hub for investment and opportunities. It maintains connections with numerous nations and engages extensively in buying, selling, and trading in global markets.

Overview

Auresia's economy benefits from government oversight and regulation while allowing substantial flexibility for corporate operations. However, stringent standards are in place to penalize any attempt to exploit the system. The Imperial Curia's government remains neutral towards business unless required to address grievances or criminal activities.

Taxation

Taxation in the empire is structured through a series of rates:

Personal income is taxed at a flat 5% rate.
Corporate gains are taxed at 5% without a cap.
Investment gains are taxed at 2.5% without a cap.

Rules

Domestic firms are prohibited from relocating operations outside the empire for tax reduction. Foreign firms are disallowed from routing gains earned within the empire to foreign entities to reduce tax liability, leading to an increased taxation levy as a penalty.

For overdue taxes exceeding one year, property or assets equivalent to the debt value can be seized by the state for liquidation. This applies to both individuals and firms. Appeals against asset seizure for debt payment are not permitted.

Tax Calculation

Taxation calculations follow specific rules:

For single individuals: A flat 5% rate applies, with deductions available for children or property ownership.
For married couples: Each individual is taxed at 5%, with combined earnings used for taxation. Similar deductions are available.

Special Situations

Newly-established firms receive a 20% tax reduction in their first year.
Religious institutions and corporations gain no exemptions.
There are no earned income, gift, estate, or death taxes.

Loans

Auresia's regulations on loans prevent predatory practices and toxic debt expansion. Secured loans, often used for housing purchases, require collateral assets worth at least one-fifth of the loan value. Monthly payments cannot exceed one-quarter of the borrower's income. Lenders cannot foreclose on defaulted loans before three months past the default date.

Bonds

Bonds in the empire are issued through underwriting or auction. Government bonds, known as Imperial Lion Bonds, are issued in four investment levels. The rate of return depends on bond terms and market price. Private placement bonds avoid underwriting costs but may not be tradeable in the bond market.

Currency & Central Bank

The valuation of the empire's currency, the florin, is regulated by the Imperial Council of Auresia. The Imperial Treasury manages money flow and collateral.

Finance

The Auresian finance sector covers savings, debit and credit accounts, stock investments, bonds, and loans.

Health Care

The health care sector maintains medical services for the empire's citizens.

Agriculture & Industry

Agriculture, light and heavy industries, energy, and transportation contribute to Auresia's economy.

International Trade

The empire engages in international trade with strict oversight.