Ravenna leaned back in her chair, idly twirling a quill between her fingers as she gnced down at the stack of carefully prepared documents before her.

  “You do remember the decrees my father issued when he exiled me, don’t you?” she asked, her voice ced with amusement as she tapped the parchment.

  Standing beside Earl Hessman, Nichos raised an eyebrow at the question before responding, “His Majesty decreed that Ravenna Sorius would be the sole ruler of Jo Isnd and granted the title of Duchess of the Jo Dukedom.” He paused briefly, gncing at Hessman before continuing.

  “You were also allocated 400 Mana Coins to stabilize your new domain and, most importantly, were exempted from all imperial taxation for the next fifteen years.”

  Earl Hessman nodded in understanding, his sharp gaze settling on Ravenna as realization dawned. “Ah… So you intend to turn the Empire’s own taxation ws against them, Your Highness?”

  Ravenna’s lips curled into a smirk. “Exactly.” She pced the quill down and folded her hands together. “Tell me, Earl Hessman… Are you familiar with the concept of a tax haven?”

  Hessman’s brows lifted slightly, intrigued. Nichos, standing beside him, shifted uncomfortably, his curiosity evident despite his efforts to remain composed.

  Ravenna continued before they could respond. “I intend to turn Jo into one.”

  At that, both men fell into deep thought. The weight of her proposal settled heavily in the air.

  After a moment, Hessman spoke, rubbing his chin thoughtfully. “So, you pn to model Jo after Foster Liam, the city-kingdom in the vassal states region? That independent trade hub has been a concern for the Empire’s nobility and merchants for some time now.”

  “Exactly,” Ravenna said smoothly, leaning forward as she slid a stack of documents toward Hessman. “The anti-Imperial sentiment growing within Foster Liam has been stirring unrest for years. The Empire’s nobles and wealthiest merchants have invested heavily in its markets, but with tensions rising, many are worried about the possibility of civil war breaking out there.”

  Hessman took the papers and began skimming through them. His expression shifted from skepticism to intrigue as he read Ravenna’s carefully id-out pns.

  “If Foster Liam falls into chaos,” she continued, “these nobles and merchants will stand to lose an immense amount of wealth that they’ve carefully tucked away beyond the Empire’s Finance Department's reach. They need an alternative—one that provides the same financial security and tax benefits, but under stable and reliable management.”

  She gestured toward Hessman. “And I intend for Jo to be that alternative.”

  Hessman pced the documents down and exhaled deeply. “Your pn is… bold, to say the least. But from what I see here, it is entirely feasible.” He gnced back at Nichos before turning his gaze back to Ravenna. “If executed correctly, rge merchant guilds and high-ranking nobles could avoid paying Imperial and base taxes altogether, needing only to pay a local tax at the point of purchase.”

  Ravenna’s smirk widened. “Precisely.”

  Hessman chuckled, the glint of a seasoned negotiator sparking in his eyes. “Then I assume, Your Highness, you are here to propose an exclusive cooperation agreement with the Imperial Merchant Association?”

  Ravenna crossed her legs, her confidence unwavering. “That depends… Do you think your association is willing to cooperate?”

  Hessman mirrored her smirk, the air between them crackling with mutual understanding. “That depends… Will we have exclusive rights in this deal, Your Highness?”

  Before Ravenna could answer, Nichos, who had been silent for most of the exchange, suddenly spoke up. His forehead was creased with confusion.

  “Wait! I don’t understand… How would this even work? If merchants are moving their wealth to Jo, why wouldn’t they have to pay taxes? Wouldn’t this hurt the Empire’s economy?”

  Ravenna sighed, her patience wearing thin. “Why do you care, assistant? Just do your job.”

  A brief, awkward silence followed.

  Earl Hessman let out a chuckle, though there was a faint trace of nervousness in his tone. “Forgive him, Your Highness. Nichos is my pupil, and he has a habit of asking too many questions.”

  Ravenna exhaled through her nose and leaned back. “Fine. Since he seems so curious, I’ll entertain his ignorance—for now.”

  Earl Hessman chuckled at her words before turning his gaze toward his pupil. “Tell me, Nichos,” he began, adjusting his cuffs before reaching for a quill and parchment. “How does the Empire currently tax its various federal lords' estates and merchants?”

  Nichos straightened, his expression serious as he answered, “There are three primary tax brackets: Base Tax, Local Tax, and Imperial Tax. I understand that the Imperial decree allows Her Highness to bypass the Imperial Tax, but what I fail to understand is how her pn exempts merchants from paying the Base Tax.”

  Hessman hummed thoughtfully, dipping his quill into the ink pot. “Let’s break it down with an example,” he said, beginning to sketch a rough diagram on the parchment.

  Nichos stepped closer as Hessman started writing. “Let’s take a merchant guild based in Ronin Town,” he expined. “Now, this guild primarily operates in the Imperial Capital, selling its goods there.” He paused to ensure Nichos was following.

  Nichos nodded, prompting Hessman to continue. “Because the merchant guild is headquartered in Ronin Town, its treasury and financial operations are based there as well. This means that the guild is required to pay a Base Tax to the Ronin Viscounty—a tax rate determined by the Ronin Family’s financial department.”

  He drew an arrow from "Ronin Town" to "Base Tax" on the parchment before moving on.

  “Now, since the guild is conducting business in the Capital, it must also pay a Local Tax set by the Capital’s financial taxation department—an unavoidable expense for doing business within the city’s jurisdiction.” Hessman added another arrow beled "Local Tax" pointing toward the Capital.

  Nichos nodded once more, his brow furrowing as he absorbed the information. Hessman tapped the parchment with his quill.

  “Then, at the end of the month, an Imperial Tax is imposed on both estates—the Ronin Viscounty and the Imperial Capital—based on their total monthly income. This tax is calcuted by the Imperial Court’s Accountant Division, which evaluates all business transactions conducted within a lord’s territory and determines the percentage that must be sent to His Majesty’s Treasury.”

  Nichos pursed his lips, following Hessman’s writing as he continued.

  “For example,” Hessman eborated, “Ronin Viscounty’s estates are subject to an Imperial Tax of 15%, while the Imperial Capital pays a much steeper 33%. Since the merchant operates in both locations, their income is affected by both these tax rates.”

  He drew a final arrow beled "Imperial Tax," connecting both locations back to the Emperor’s treasury.

  “To put it simply,” Hessman concluded, “a merchant earning 100 gold in total profit would only be left with around 60 gold after the cumutive tax cuts. This is why major merchant guilds often relocate their headquarters to Foster Liam, a city-kingdom in the vassal states region. Thanks to their special treaty with the Council of Vassal States, Foster Liam imposes only a 5% Base Tax and a 5% Imperial Tax, making it the ideal tax haven for merchants who want to protect their wealth.”

  Nichos’s eyes widened slightly in realization. “So… Her Highness pns to make Jo into a simir haven?”

  Ravenna chuckled at his assumption, shaking her head. “No.”

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