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Home arrow Holyrood news arrow News categories arrow Business, Industry & Economy (HCL04) arrow Greens urge consideration of Land Value Tax
Greens urge consideration of Land Value Tax Print E-mail
Wednesday, 30 May 2007

Government and opposition parties will need to embrace more radical thinking in order to make Scotland a fairer society, according to the Scottish Green Party.

Speaking ahead of a debate entitled “Wealthier and Fairer”, Patrick Harvie MSP, Green Party policy convener, said that the political mainstream had abandoned any attempt at sharing wealth more fairly in society, and urged parties to resist the idea of replacing an unfair property tax with an unfair income tax and reconsider the Greens’ proposal for Land Value Taxation (LVT)

Under the Greens’ proposals for LVT, the basis of assessment would be land value with the owner of the property rather than the occupier liable. Furthermore, rebates on second homes, exemptions on empty property and discounts on under-utilised property would be abolished. A new means of payment would also be introduced to allow liable persons of low income or insufficient liquidity to elect to defer payment.

The Greens argue that these proposals would mean savings for low income households, as well as other benefits such as exemptions and discounts for pensioners, freeing up derelict and underused land and empty properties and stabilise the housing market.

However, Harvie said that a review of local government finance in the last parliamentary session failed to properly investigate LVT as an option.

"All the other parties are thinking far too narrowly on this issue - the new politics should look at all the options. It is a shame that the Burt review did not examine Land Value Tax other than taking a cursory glance.

“LVT will target the asset rich, not the poorest in society and is an inherently fairer system all round. It will drive efficiency throughout the land-use system, make more land available and resist speculative planning proposals which distort the market. It will offer public benefits, which are currently captured by private interests.

“I urge all parties, and there are LVT supporters in the SNP, Labour and the Lib Dem ranks, to consider LVT as a possible opportunity to break up the polarised arguments over local income tax versus minor tinkering of Council Tax.”
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Last Updated ( Wednesday, 30 May 2007 )
 

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