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Land is already taxed, Georgism is already in play. If one is arguing for higher property (addition + land) tax then that’s another discussion. The housing iss
by endisneigh 5y ago
Land is already taxed, Georgism is already in play. If one is arguing for higher property (addition + land) tax then that’s another discussion.
The housing issue is a zoning issue, and consequently solely a political one, not a tax one.
- TulliusCicero 5y agoYes, but a pure land tax behaves differently from a property tax. A land tax punishes 'unproductive use' of in-demand space much harder, and doesn't provide a disincentive for investing in building improvements.
- amablue 5y agoLand is taxed at very low rates, and it's almost always bundled with property taxes. Instead of taxing land at a few percent, Georgism says we should be taxing it at 100%. That's a huge difference from what we have in play today.
- endisneigh 5y agoI don’t disagree - which nations have a 100% land value tax? Either way, increasing the tax or reforming zoning, the crux of the issue is political.
- zajio1am 5y ago> Instead of taxing land at a few percent, Georgism says we should be taxing it at 100%. Property tax percentages are from property value, while georgism is taxing 100% of imputed rent, not value. Relation between rent and price, as mentioned in the article, is described by capitalization rate, which is estimated to be 5-8%. So georgian LVT would be 5-8% of original land value.