By the time Bajirao became the Peshwa, the Chhatrapati Shahu was almost a titular ruler, largely confined to his residence in Satara. The Maratha confederacy was run in his name, but the real power lay in the hands of the Peshwa. By the time of Bajirao's appointment, the Mughal emperor Muhammad Shah had recognized Marathas' rights over the territories possessed by Shivaji at his death. In 1719, the Mughals had also recognized the Maratha rights to collect taxes (chauth and sardeshmukhi) in the six provinces of Deccan.