tag:blogger.com,1999:blog-1141932539860553199.post8775651202616337088..comments2024-03-05T10:52:24.691+00:00Comments on Mark Wadsworth: Killer Arguments Against LVT, Not (481)Mark Wadsworthhttp://www.blogger.com/profile/07733511175178098449noreply@blogger.comBlogger7125tag:blogger.com,1999:blog-1141932539860553199.post-3811377493146490472020-08-12T00:09:36.858+01:002020-08-12T00:09:36.858+01:00You're still supposing that people are rationa...You're still supposing that people are rational. It's a very curious mistakeRobin Smithhttps://www.blogger.com/profile/04648517992918303543noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-6870440308880074932020-08-11T09:40:19.989+01:002020-08-11T09:40:19.989+01:00Phys, yes, ATCOR.
But that won't become obvi...Phys, yes, ATCOR. <br /><br />But that won't become obvious until we start doing the tax shift, which at this rate, will be never.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-35082240674803848982020-08-11T08:31:52.058+01:002020-08-11T08:31:52.058+01:00There is a hidden iceberg of land value which is c...There is a hidden iceberg of land value which is concealed due to existing taxes. As existing taxes go down, land values go up, since all taxes come out of rent (they cannot come from anywhere else); the key to understanding is to observe what happens at the marginal locations, where economic activity is currently not viable, but which becomes viable when taxation is reduced; LVT is not payable at marginal locations.Physiocrathttps://www.blogger.com/profile/13682019625346594568noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-73784966995230764782020-08-05T21:45:31.021+01:002020-08-05T21:45:31.021+01:00B "A tax of 3% on selling prices, used to red...B <i>"A tax of 3% on selling prices, used to reduce other taxes, may well be a 100% tax on land rents today, but they won't be the day after those taxes are reduced."</i><br /><br />Correct. I'm a moderate, half LVT and half higher rate income tax* will do me. They are sort of the same thing.<br /><br />* Not sure what the threshold should be. Gut instinct, at least £50,000. Any earnings under that are truly earned and shouldn't be taken away.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-85635767029100614732020-08-05T20:58:23.033+01:002020-08-05T20:58:23.033+01:00A tax of 3% on selling prices, used to reduce othe...A tax of 3% on selling prices, used to reduce other taxes, may well be a 100% tax on land rents today, but they won't be the day after those taxes are reduced.<br /><br />So its easier to explain a straight LVT paid out as a UBI. Which would reduce HP's to their capital only value because of the way incomes are redistributed i.e the locational advantage is nullified by the tax, to which a equal per person payout makes no difference.<br /><br />So the tax, and all future taxes falls on present day landowners. Of whom, only those whose land's rental value is greater than their UBI will be worse off. <br /><br />But seeing as those in perpetuity are getting their taxes paid for free, this is a no brainer. If you are doing something immoral and society decides to stop the music, tough if you are the one without a chair. All part of the game you chose to partake in.benjhttps://www.blogger.com/profile/11544297406005346095noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-40821021492212345402020-08-04T20:32:12.935+01:002020-08-04T20:32:12.935+01:00Sh, thanks.
I've always been like this. When ...Sh, thanks.<br /><br />I've always been like this. When I bought a house in a Labour council area in 1993, people warned me against it, admitting it was relatively cheap (compared to neighbouring Tory areas), but it was a false economy because Labour areas had higher council tax than neighbouring Tory areas.<br /><br />I tried to explain that it didn't matter - the money I save on a cheaper house cancels out the extra council tax. It wasn't a 'false economy', it was a straight swap and I know all about discounted net present values.<br /><br />It fell on deaf ears.Mark Wadsworthhttps://www.blogger.com/profile/07733511175178098449noreply@blogger.comtag:blogger.com,1999:blog-1141932539860553199.post-51281422210097534502020-08-04T19:45:53.104+01:002020-08-04T19:45:53.104+01:00@MW
When you write this stuff it always makes sen...@MW<br /><br />When you write this stuff it always makes sense to me - I find it weird how 'everyone else' apart from the nutters around here don't see it.Shineyhttps://www.blogger.com/profile/13281261419328886986noreply@blogger.com