[RP TownTalk] Land Value Tax, Re: TownTalk Digest, Vol 10, Issue 39

[Nancy Augustine]

Jack -
Would you mind clarifying? I remember we had a conversation along these
lines on this list some time in the last year or so; are you advocating a
land tax instead of the system currently in place in Maryland that taxes
land and improvements?  That sounds like a change that would have to be made
at the state level, is that correct?  
 
Nancy

  _____  

From: towntalk-bounces at riverdale-park.org
[mailto:towntalk-bounces at riverdale-park.org] On Behalf Of Jack Randall Jones
Sent: Friday, May 18, 2007 2:01 AM
To: towntalk at riverdale-park.org
Subject: [RP TownTalk] Land Value Tax, Re: TownTalk Digest, Vol 10, Issue 39


Dear Towntalk,

My phone is 301-277-2242. I am willing to talk with anyone or group that
wishes
to gain a better understanding of the issue.

In terms of all of us who have to pay higher taxes for those who are
speculating on increased land value and who will reap a windfall on sale of
their land that has increased in value through the economic actions of
others...consider that just the vacant land is underpaying $131,651/year (in
2003 dollars), underused land would add to this total. Over the past 15
years, had the town adopted the LVT, this is a sample of yearly savings for
good economic citizens.

$96,310 1991            If memory serves, these figures
$119,162        1999            amount to about 10% of the Town's
$131,651        2003            budget in any given year.
$143,291        2006

Assuming straight line inflation for the 15 years, that is about $1,800,000
total, or about
$1,130 for each of the 1592 properties in town at that time, of which 171
are vacant.

I would rather not pay for land speculator's and run down property owner's
profits...but I am only one vote...you other homeowners are going to have to
push for this change, in mass, or it will not happen. Keeping the system you
have is not going to solve the problems it has caused...only a change to a
rational revenue system is going to make Riverdale better...your choice.

Sincerely,
Jack
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PS: a few bits of data from 2003 assessments


The Land Tax  is better than The Improvements and LandTax Combination
(current tax method) for Economic Development.
If Riverdale Park taxed only land then the vacant land would have to pay its
Fair Share.
20 Vacant Industrial Lots would pay a total of $76, 904 more in taxes
42 Vacant Commercial Lots would pay a total of $25,391 more in taxes
7 Vacant Multifamily Lots would pay a total of $3,965 more in taxes
  60 Vacant Residential Lots would pay a total of $25,391 more in taxes
This also means that those lots where owners are making better use of the
land, will pay less in taxes than they currently pay.
Information based on Riverale Park 2003 Assessments
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