The Role of Tax Policy in the Building and Administrative Development of the Mongol State

Abstract

This study explores the role of fiscal policy and taxation in the formation and administrative development of the Mongol state. It argues that taxation was a fundamental pillar in establishing state institutions and consolidating authority. The research traces the historical roots of taxation from ancient civilizations—particularly Pharaonic Egypt—where taxes emerged as a social obligation, evolving into a legal and financial mechanism tied to state sovereignty.

 The paper focuses on the introduction of the tax system in Mongolia during the 5th and 4th centuries BC and its institutionalization under the Hunnic dynasty. A major emphasis is placed on Genghis Khan’s reforms after the founding of the Mongol Empire in (603AH/ 1206 AD). Through the Yassa legal code, he established a structured tax system aimed at ensuring fiscal stability and resource mobilization. The study also examines the fiscal innovations of Ögedei Khan, who introduced taxes on land, trade, salt, and alcohol.

The Mongol tax policy, as discussed, sought a balance between state interests and public welfare. Rulers like Genghis Khan and Ögedei Khan emphasized fairness and moderation in taxation to prevent social unrest and promote trade. However, during Möngke Khan’s reign, excessive taxation and administrative corruption led to widespread hardship and revolts across the empire’s territories.

The paper further analyzes the methods of tax collection—both direct and indirect—highlighting the role of local tax collectors (tamnachi) and the variety of levies such as qabjur (pasture tax) and commercial duties. Ultimately, the research concludes that the Mongol tax system played a central role in state-building and administrative consolidation, despite its later decline, and constituted a cornerstone in the economic governance of the Mongol Empire