Effects of Tax Policies on Land Use
CED-78-97: Published: Apr 28, 1978. Publicly Released: Apr 28, 1978.
Additional Materials:
- Full Report:
Contact:
There has been an increasing awareness in the United States that taxation may play an important role in influencing land use. This awareness includes a recognition of certain undesirable consequences of past Federal, State, or local tax policies and practices. Although there is no single overall Federal policy on the use of public or private land, the Federal Government has a special interest in the effect of taxes on land use.
One of the most important sources of State and local revenues is property taxes which generally consists of a dual tax levied on the land and its improvements. The present system of property taxation tends to overtax improvements and undertax land. This provides a disincentive to maintain or improve urban property or develop urban land to its highest use. Property taxes on agricultural land, if assessed on the basis of potential market value, can be a heavy burden on the owner. A 1973 study showed, in several cities, a systematic overassessment of properties in blighted and declining neighborhoods and an underassessment of properties in stable and improving neighborhoods. The study concluded that the most urgent property tax reform is to equalize effective tax rates across neighborhoods within the same city to share the costs of public services more evenly and not penalize deteriorating neighborhoods. Major issues that need to be dealt with include: a need for coordinated action by all concerned Federal agencies to harmonize tax policies with national policy objectives, identification of inconsistencies between tax provisions and specific national goals and programs, and development of alternative strategies to achieve national objectives.
Nov 17, 2020
Puerto Rico Electricity:
FEMA and HUD Have Not Approved Long-Term Projects and Need to Implement Recommendations to Address Uncertainties and Enhance ResilienceGAO-21-54: Published: Nov 17, 2020. Publicly Released: Nov 17, 2020.
Jul 16, 2020
-
Targeting Federal Funds:
Information on Funding to Areas with Persistent or High PovertyGAO-20-518: Published: Jul 16, 2020. Publicly Released: Jul 16, 2020.
Jun 25, 2020
-
National Flood Insurance Program:
Fiscal Exposure Persists Despite Property AcquisitionsGAO-20-508: Published: Jun 25, 2020. Publicly Released: Jun 25, 2020.
Jun 11, 2020
-
American Samoa:
Economic Trends, Status of the Tuna Canning Industry, and Stakeholders' Views on Minimum Wage IncreasesGAO-20-467: Published: Jun 11, 2020. Publicly Released: Jun 11, 2020.
Apr 28, 2020
-
Priority Open Recommendations:
Small Business AdministrationGAO-20-501PR: Published: Apr 21, 2020. Publicly Released: Apr 28, 2020.
Mar 9, 2020
-
La Agencia Federal para el Desarrollo de la Pequeña Empresa:
el Procesamiento de Préstamos para Desastres Fue Más Puntual, Pero Mejoramientos en la Planificación y la Evaluación del Programa Piloto son NecesariosGAO-20-369: Published: Feb 7, 2020. Publicly Released: Mar 9, 2020. -
Small Business Administration:
Disaster Loan Processing Was Timelier, but Planning Improvements and Pilot Program Evaluation NeededGAO-20-168: Published: Feb 7, 2020. Publicly Released: Mar 9, 2020.
Jan 28, 2020
-
Innovative Technologies in Manufacturing:
Commerce Has Stopped Efforts to Implement Loan Guarantee ProgramGAO-20-326R: Published: Jan 28, 2020. Publicly Released: Jan 28, 2020.
Oct 8, 2019
-
Puerto Rico Electricity Grid Recovery:
Better Information and Enhanced Coordination Is Needed to Address ChallengesGAO-20-141: Published: Oct 8, 2019. Publicly Released: Oct 8, 2019. -
Recuperación De La Red Eléctrica En Puerto Rico:
Se Necesita Mejor Información y Coordinación para Enfrentar DesafíosGAO-20-143: Published: Oct 8, 2019. Publicly Released: Oct 8, 2019.
Looking for more? Browse all our products here
Explore our Key Issues on Economic Development
Explore our other Key Issues here
