“The Fair Tax” was launched by Smart Taxes in Buswells hotel yesterday. Fr Sean Healy introduced the book with a call for general tax reform. He pointed out that Social Justice Ireland has always been a supporter of land value tax. A proposal for a land value tax to fund a citizens income has been floated in a recent European conference held on social justice issues, with which he heartily agrees. He commended the book using the words of economist Colm McCarthy in the preface.
site value tax
Ireland is unusual among industrialised countries in that it has no property tax. But that is about to change - and the type of property tax that is brought in will be crucial to Ireland's future. This new book from the Smart Taxes Network and Feasta explains how a poorly-designed property tax could bring about a second massive transfer of wealth from the 99% to the 1%. A Site Value Tax would be vastly preferable, and the book convincingly shows how easy it would be to assess and implement.
Will the 99% of Irish people be bounced into a second bailout of the elite 1% that includes the bankers, speculators and property developers? Could it be happening again under the cloak of secrecy the new Coalition has built around their new property tax? This book "The Fair Tax" compiled by the Smart Taxes network and edited by Emer Ó Siochrú is a wake up call that must not be ignored by the Irish people...
Relaxing planning restrictions would lead to a rebalancing of land designations towards their most profitable use, namely residential housing and business. This would lead to a fall in house and business property prices as supply increased, and windfall gains to land owners. A concurrent LVT would capture some of those gains. As the tax base is observable and fixed, neither avoidance nor evasion is possible, making collection cheaper. Substituted for other distortionary and inequitable taxes such as council tax and business rates, LVT could also increase efficiency. Paired with an overhaul of the antiquated system of land-use planning, it would boost growth and ease budgetary woes.
Professor Frank Convery believes that Irish people will never accept land value taxation even though it is the best kind of property tax: and he knows it is because he participated in the EEA conference of environmental taxation in Dublin 2010, which showcased site value tax as an ‘environmental tax’. Maybe he thinks Irish people are too thick to get the message of what is in their interest. It might help if they were actually given the information and offered the choice, don’t you think?
Here are some links from a website of Andy Wightman, a Scotish supporter of LVT [...]