The system of tax became most prominent in the period of

The sophisticated system of taxation became most prominent during the Mahajanapadas period (circa 6th-4th century BCE) as these sixteen major kingdoms developed structured administrative systems. Taxes were collected in the form of crops (known as 'bhaga', usually 1/6th of produce), labor services, and crafts. While the Harappan civilization had some trade structures and the Guptas had efficient administration, the formal, systematic taxation reached its peak development during the Mahajanapadas, which laid the foundation for Mauryan fiscal policies.