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That may act functionally as a congestion tax for the home buyer, but instead of the tax going to the state where it can be used to fund other schools it ends u
by paulgb 9y ago
That may act functionally as a congestion tax for the home buyer, but instead of the tax going to the state where it can be used to fund other schools it ends up being an arbitrary transfer of wealth to homeowners who bought before the school was built.
- imgabe 9y agoPart of it goes to the state in the form of higher property taxes due to the increased property value.
- ComputerGuru 9y agoProperty taxes in neighborhoods with good schools are significantly higher here in Chicago. It doesn’t go to the state though, but rather funds the local school district directly. Note that this still isn't a libertarian approach, as I, hypothetically residing in such a district but sending my hypothetical children to a private school, would still be paying for this service that I am not using; I would be paying for the right to use this but not the actual use of it. It's basic taxation but on a hyperlocal scale.
- toast0 9y agoIn addition to property taxes mentioned by others, many jurisdictions have a transfer tax on the value of the property transferred. A jurisdiction would do well to have high demand schools at different levels in different areas, to encourage families to move, and pay transfer tax :)