Sunday, February 8, 2009

Former Indy Mayor supporting LVT?

Former Indianapolis Mayor Bill Hudnut entered a post on the Urban Land Institute's blog, The Ground Floor, supporting an increase of the tax on land while reducing the tax on improvements - a Pittsburgh-style land value tax. He refers to a 1972 Urban Land Institute Research Monograph that studied Australia's use of site value taxation, and a quote from Mason Gaffney (see Links). While it is refreshing to see a politician with Hoosier roots endorsing LVT, it is a shame he did not go a little farther back in its history. Even Pittsburgh began using the two-tier tax system in the early part of the last century, though not to any great effect until they increased the difference between the two rates.

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