Aurangzeb fought many expensive wars in Marathwada, Bijapur and Golconda. In these long-drawn battle, he incurred heavy expenses. Moreover, his religious policy disaffected the major population. In the later Mughal phase, the decline became rapid. The factors of these declines can be classified into political, economic, socio-religious and military in nature.  

Political causes 

1. After Aurangzeb, the clear line of succession was broken and it turned into a war of succession.  

1. Heavy political instability during the period of later Mughals, and within a span of 12 years, 6 rulers were appointed interchangeably on the Mughal throne.  

1. Huge interference of Mughal wazirs.  

1. Fights amongst the noble groups to enhance their power, when they should have displayed cooperation.  

1. Later Mughals were weak military rulers and it paved the way for new states to form.  

Economic factors 

1. The Mansabdari system was the core of Mughal administration. In which the rule was of 80:20 land division between land grant and jagirdari. But due to expensive wars fought by Aurangzeb, he made changes to this division and now more land was reserved for Royal category and very less for jagirdari. Hence, The jagirdari crisis.  

Socio-economic causes 

1. The Jizya tax and pilgrimage tax introduced by Aurangzeb had adverse impacts.  

1. He destroyed many temples of India including Somnath, Kashivishwanath, etc.  

1. He banned many popular festivals like holi and Navros(a parsi festival).  

Military causes 

The later Mughal’s negligence toward upgradation of military weapons and technology led to severe damage and a disadvantaged position which ultimately resulted in their decline in front of the British East India Company.