Hermit wrote:Council Rates =/= Land Tax. The former is a fee for services rendered by your local council. The latter is a wealth tax imposed by your local state government. Here in Australia just about every state has one of the latter now, but none of them apply to your principal place of residence if you own it or have a mortgage on it.rEvolutionist wrote:But council taxes/levies (what we call "rates" here) are levied to pay for services associated with your land - like water, rubbish collection, postal services, sewerage services etc.Cormac wrote:Yes. Straight theft.Svartalf wrote:Yet many states levy a land tax, sometimes even one on the owner and one on the occuppant of a given property...
I have no problem with local council taxes, levied openly on income, provided it is means tested.
Taxes levied on "property" seek to pretend that there is some value generated by inert property - when this is a blatant falsehood. Such taxes are stealth income taxes and so are, in fact, theft.
Note to Cormac: I don't regard land tax, as applied in Australia, as theft.
I do, because of you follow the logic through to its end, it means that the state will eventually tax you for more than you paid for the land originally.
This implies that the state regards itself as the owner of your land. This negates any sense of private property.
Furthermore, since land itself is inert, and doesn't produce income, what precisely is the state taxing? The answer is income. This means that in order to afford land, you need to earn a lot of money independently of land. This acts to concentrate land into the hands of the wealthy.
Land TRANSACTIONS should be taxed. Merely HOLDING land should not.