That world already existed, it was every civilization that used currency before the electronic payment system. The only caveat was that it had to be exchanged i

That world already existed, it was every civilization that used currency before the electronic payment system. The only caveat was that it had to be exchanged in person. Governments levied taxes on goods at points they could easily view and control, e.g. tariffs on imports and exports, taxes on goods produced by businesses that couldn't hide, and on landowners, which also can't hide how much land they own.