A Lesson in Taxes, Part 1: Taxes and Ancient Egypt

W. Marc Gilfillan, CPA, NC, individual and business CPA and Tax expert, shares about the history of taxes…

Ancient Egypt wasn’t a place of cruel taskmasters and oppressed slavery - that is only the stigma we get from the tale of Moses, which formed at a time of turmoil in Egypt. Modern translations of Egyptian language tell a tale of life in ancient Egypt was usually bountiful and peaceful. The land was fertile, women and men were equal and life was enjoyed. Now, there were tax collectors, as many as “the sands of the seas”. The order of Egyptian life was maintained by these “scribes” whose job was enforcing the pharaoh’s tax policies. Most all aspects of life were taxed - sales, slaves, foreign people, imports, exports, and businesses. Agriculture was taxed at a hefty 20%. There was even a charge on cooking oil and scribes would make regular visits to kitchens to make sure that free drippings were not being used instead of the taxed oil.

The idea of “freedom” ironically in ancient Egypt didn’t refer to someone’s political or social liberty but to one’s tax level. If you were “free,” it meant that you were exempt from taxation. Interestingly, the word cannot be found anywhere in the Egyptian language. Good thing we live in this time eh? Go here if you want help with modern-day Tax Preparation, bookkeeping, and payroll in Cary NC.

However, the scribes were never inconsiderate (at least in theory). They were told to act kindly to the poor and defenseless. An example from an ancient text states: “if a poor farmer is in trouble with his taxes, remit 2/3 of them.”

Another text instructs officials to “cheer up everyone and to direct them into good humor.”

And, if anyone is struggling under the stress of their taxes, or is at the end of his means to pay them, you must let the case go unchecked.” If you’re feeling the pressure with today’s taxes, call a Raleigh NC Accountant for all your tax-related needs!

This lenient policy was coined “philanthropa”. From that we get the word philandthropy.

Over the 3000 years of the Egyptian empire, there were many times of humane and decent tax administration.

Keep an eye out for W. Marc Gilfillan’s next chapter in his History of Taxes series: Taxes and the Greeks. http://www.marccpa.com/