- Dec 16, 2011
- Reaction score
- Political Leaning
So we will replace the income tax with a lower tax on land? That sounds more like tax anarchy than a plan. Current property taxes are used to fund schools and local and State Govt. Where is the Federal revenue coming from?Current property taxes tax both land value AND improvements (e.g. your house). LVT would lower or eliminate the tax on the house and raise the tax on the land value itself. Most homeowners would actually see their tax lowered.
(70-80) Studies showed that homeowners saved on property taxes with a two-rate building-to-land shift in nine of eleven cities. The cities were Fresno CA, all cities in Oregon, Bergen County (in N.J.), Pittsburgh, Erie, Harrisburg, and Allentown in Pa., Korumburra and South Melbourne in Australia. Homeowners paid slightly more in Farrell and Monessen, Pa. (but not Monessen today). See IT, 10/78.