LVT and things like market value based taxes are all far more complicated than is what already works, and what Singapore does (and a couple other countries like China): all land owned by the state, sold to private individuals with [99] year leases.
So the revenue comes through in resales once leases end.
Super simple: no valuation (only market sales); no annual expenses to consider (all upfront); development issues are simply a matter for leases to expire; speculation is capped given the capped lease length (although it can still get to stupid valuations).
Implementation is also extremely simple if you’re already onboard with taxation as expropriation: the state just legislates that all property is now a 99 year lease and they own it at that point (alternatively they compensate you 2-5% of market value, and retain existing annual taxes, or cut existing annual taxes to compensate, or they just do it without compensation!)
I agree this seems like the most realistic way to implement an lvt. A pure lvt would need to have tons of loopholes to convince people to build industry in low value places. If a builder thinks their taxes will skyrocket in the future they will go overseas. The yearly evaluation is ripe for corruption(my city has tons of corruption in property taxes evaluations).
m101 · · focus · HN ↗
So the revenue comes through in resales once leases end.
Super simple: no valuation (only market sales); no annual expenses to consider (all upfront); development issues are simply a matter for leases to expire; speculation is capped given the capped lease length (although it can still get to stupid valuations).
Implementation is also extremely simple if you’re already onboard with taxation as expropriation: the state just legislates that all property is now a 99 year lease and they own it at that point (alternatively they compensate you 2-5% of market value, and retain existing annual taxes, or cut existing annual taxes to compensate, or they just do it without compensation!)
HDThoreaun · · focus · HN ↗