Provides an initial appraisal of the practical viability of a local land value tax, and identifies further work that would be required in order to deliver such a policy.
This is the latest release
An important finding for future consideration is the investment necessary to meet the detailed information requirements on which such a tax could be based.
Modelling work estimates that the total value of residential land in Wales is £113.4 billion, and the total value of land underlying properties which currently pay non-domestic rates is £27.6 billion.
A local land value tax (LVT) in Wales could raise sufficient revenues to replace the current local taxes. A uniform national LVT rate of 1.41% on residential land would be sufficient to raise the same revenues as are currently raised by council tax. A uniform national LVT rate of 3.9% charged on the properties that currently pay non-domestic would be sufficient to replace that tax.
The data requirements for implementing a local LVT in Wales are not currently met.
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