National Council Assembly’s Performance in Regulating the Government and Guilds’ Relationships Concerning Tax Regulations (1st Pahlavi Period)

In Reza Shah’s period, tax income was one of the key sources for implementing the government’s renovation projects. Therefore, regulating the financial and tax affairs turned into a primary concern for the National Council Assembly. After the demands of guilds and government were raised together, the per-capita taxation on guilds and businesses was abolished and replaced by tax on income. As tax has always been one of the most prominent and challenging issues in the government–guilds relationships, the Council played a significant role in setting the new regulations while also accounting for guild demands as the nation’s legislative institution. This subject is the main focus of this study. This study relies on relevant literature and sources, as well as historical research method combined with an analytical-descriptive approach. It investigates the role of National Council Assembly in compiling and ratifying the most important tax regulations concerning guilds to assess the council’s performance regarding the government’s tax programs for guilds and relevant acts and regulations. This study assumes that the Council acted in tandem with the government to ratify the new regulations. The findings indicate that the Council attempted toward regulating tax and financial affairs including guild taxation as a key government project. Accordingly, the council abolished one of the oldest taxes on guilds and passed new regulations to pave the way for government oversight on taxation quantity and method of tax collection from guilds. However, the Council’s efforts to meet the demands of guilds and direct regulations toward a fair and balanced taxation policy—at least so long it did not conflict with higher government policies—are not negligible.