Posts Tagged ‘Rhodes Island’

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

The isle of Rhodes: a seminal connection to Rome and Greece. All shipped goods from the east halted for restocking or to switch cargo at Rhodes. The port of the island, like all other harbors, had a tax on everything, which was two percent. Rhodes prospered and was fabulously wealthy in the banking and commerce industries specifically. The businessmen funded the creation of a hundred-foot-tall bronze statue of Apollo at the entrance to the port. It named as one of the 7 wonders of the ancient world (whether it truly straddled the harbor entrance remains a mystery). If you’re feeling the pressure with today’s taxes, call a Cary NC CPA for all your tax-related needs!

Things were fine until 225 BC. An earthquake toppled the statue and not much more is known of Rhodes following the disaster. Did the earthquake wipe them out? Decimate the harbor? Well, this is the remainder of the story. The Roman Senate was angered at Rhodes due to the fact that during the late Rome-Macedonia War, Rhodes had maintained neutrality. After taking so much from Rome for so many years, Rome wanted more. They wished Rhodes to take their side and contribute to the war effort. Because of this, after the war, the Romans made their move. They created a tax-free port on the nearby Isle of Delos. There was no two percent harbor tax! In the first year since the port was established, trade declined eighty-five percent in Rhodes. Rhodes was finished. Go here if you want help with modern-day Tax Preparation, bookkeeping, and payroll in Cary NC.

Did the earthquake do it? The answer is no, Rhodes had actually rebuilt after the disaster (however, they did not rebuild the statue). What brought Rhodes down was no earthquake or natural disaster or war or famine. It was Roman shrewd tax policy. All to avoid a two percent tax. The Switzerland of the ancient world, the commerce giant of the east was brought down because traders wanted to avoid a 2% tax.

Keep an eye out for W. Marc Gilfillan’s next chapter in his History of Taxes series: Roman Taxes.

http://www.marccpa.com/