That’s an extreme case, yeah. I think at that point you’re disincentivising capital works too strongly, since there’s a higher risk you’ll lose the property vi

That’s an extreme case, yeah. I think at that point you’re disincentivising capital works too strongly, since there’s a higher risk you’ll lose the property via default on taxes, but it’s not clear to me that the same effect would exist even at a 20% rate.