Fiscal policy and revenue reforms of Alauddin Khalji form the most important feature of his administration. Dr. K. S. Lai has written, “The peasants seemed to have lived a life of monotony and low standard if not equal.” Owing to his economic reforms Lanepoole has called him “a great political economist’s. His economic reforms were motivated by the following factors:
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1. The Sultan required extra wealth for the splendour of the Courland to enhance his own pomp and show. For this it was essential to introduce reforms in the revenue system.
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2. Alauddin was an ambitious ruler. He established law and order in the country by crushing the rebels and conspirators. He required a lot or money to fulfil his desjgns.
3. The Sultan needed money in order to check the incessant Mongol invasions and to strengthen the north-west frontier.
4. Alauddin had an opinion that the landlords became wealthy and powerful without any labour and they conspired against the Sultan due to excess of money. The Sultan decided to reduce them to the state of the poor and the powerless, so “he introduced some changes in the land system.
5. In the revenue department Khuts and Mugaddams had become quite wealthy and powerful through corruption. They were also enjoying several privileges. The Sultan wanted to end their supremacy in the revenue department, so it became essential for him to introduce some reforms in the revenue department. Dr. P. Saran also remarked, “His economic measures were the outcome of an urgent and grave political situation.”
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Prior to the enthronement of Alauddin Khalji several defects existed in the revenue system of the Delhi Sultanate. The revenue officers used to collective maximum amount and deposited the minimum in the royal treasury. Thus the revenue collectors had amassed lot of wealth by corrupt means and their influence had enhanced in the Sulanate due to their illegitimate wealth. They had enough landed property for which no revenue was paid to the Sultan. Alauddin introduced the following reforms in the sphere of revenue taxation.