What was the chief characteristic of the financial system of the Vijayanagara Empire?

Correct answer: (b) Land Revenue

Explanation

The Vijayanagara state derived income from various sources, such as land revenue, property tax, trade tax, professional tax, taxes imposed on industries, social and community taxes, and fines imposed for crimes. Land was properly surveyed, and 1/6 of the produce was collected as land tax (1/6 as land tax was the ideal rate, but in practice it ranged between 1/6 and 1/3 depending on the productivity of the land). A tax called ‘Shisht’ (land tax) was the chief source of the state’s income. The central revenue department was called ‘Athavane’ (Asthavan or Athvan).