The Turgot Collection

Plan for a Paper on Taxation in General, on Land Taxes in Particular, and on the Project of a Land Register

Turgot presents a detailed plan for taxation of France. He argues that a plan cannot be confined to immediate measures but must be based on a full theoretical analysis. It is only on this basis that one can ask, what can be done? Following the Physiocrat Quesnay, Turgot holds that taxation should fall only on the proprietors of land. He strongly criticizes all other taxes, which he terms “indirect.” In doing so, he anticipates a great deal of later work on the effects of taxation. Taxes on particular goods will discourage production of those goods and can sometimes have a debilitating effect on an entire town. Turgot also anticipates the “supply-side” argument that high taxes can end up reducing revenue because of their deleterious effects on production. Attempts to put the burden for taxes on foreigners through taxes on trade will not work. In addition, indirect taxes encourage corruption and evasion.