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Annual Ground Rent (AGR) also known as Land Value Tax (LVT)

Annual Ground Rent (AGR)
also known as
Land Value Tax (LVT)


Re-establishing equality . Restoring prosperity . Revitalising communities

Re-establishing equality
Restoring prosperity
Revitalising communities

If you want to create a society based on justice and equality, it’s essential to put in place the right financial system that is simple, easy to understand and air-tight from corruption. Due to pressure from the giant corporations and super-rich, today’s governmental systems are grossly unfair, favouring the wealthy, and creating crippling poverty and unecessary hardship for millions! Financial secrecy, tax havens, money laundering and favours at the highest level have become the cornerstone of government global policies. Such policies not only create inequality and fuel corruption, they seriously undermine democracy.

But there is another way. The examples below, show how Annual Ground Rent (also known as Land Value Tax (LVT) has been successfully implemented creating a win win situation for both property owners, government and communities.

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Henry George - Author

Land & Liberty

"The great cause of inequality in the distribution of wealth is inequality in the ownership of land. The ownership of land is the great fundamental fact which ultimately determines the social, the political, and consequently the intellectual and moral condition of a people.” ― Henry George - Progress and Poverty.


Scottish Land Revenue Group

Annual Ground Rent from the Scottish Land Revenue Group

The activities of this group include lobbying government to implement Annual Ground Rent (AGR) - an alternative name to Land Value Tax - based on the idea that the word "tax" can have negative connotations. Much of the activities and ideas stem from the renowned author and economist Fred Harrison. They also have a Facebook page here.


Prospect

This practical fix shows why the chancellor should introduce a land value tax

"This package of reforms would achieve multiple economic and social objectives: a gradual redistribution of locked in “land wealth” to the wider population; near eradication of the housing market as a form of speculation; and strong incentives to maximise efficient use of all the country’s housing stock"


Land Value Tax Campaign

"Because most of the original contributors are retired or have died, the main function of the web site is now as a resource library covering most aspects of land value taxation. The quantity and diversity of the material, means that it no longer fits neatly into tidy categories. The use of the search box facility is therefore recommended as a starting point. If you are unable to find what you are looking for, please feel free to use the “contact” facility."


Scottish Land Commission

Scottish Land Commission

"Land values have increased more than 450% since 1995, outstripping the growth of assets on the land by a considerable margin. This has led many people to question how the benefits from increasing land values are distributed – and whether more needs to be done to ensure that the gains from rising land value benefit society as a whole."


Welsh Government logo

Local land value tax: technical assessment

"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."


The Economist logo

The time may be right for land-value taxes

"On a trip to New York in the late 1860s the journalist Henry George was puzzled. He found the rapidly growing city to be a place of unimaginable wealth. Yet it also contained deeper poverty than the less-developed West Coast. How could this be? George had an epiphany. Too much of the wealth of New York was being extracted by landowners, who did nothing to contribute to the development of the city, but could extract its riches via rents. The problem could be solved by a tax on land values." You will need to log in to read this article.


Financial Times logo

How a levy based on location values could be the perfect tax

"...In theory, it is not just an excellent tax but the best of all possible taxes. Once the initial valuations have been done, it is phenomenally easy to collect and all but impossible to avoid. It also discourages speculation and stops in its tracks the endless cycle of investment in land and property purely to rent it out."


World Economic Forum logo

What is land value tax and could it fix the housing crisis?

"...communities might see the supply of housing in their area increase. Neighbourhoods which previously had lots of empty properties could be revitalized."


Moneyweek logo

Land value tax: the least-bad tax

"...communities might see the supply of housing in their area increase. Neighbourhoods which previously had lots of empty properties could be revitalized."

The National logo

Scotland could use land value taxation to balance its books

"The report by the Scottish Government’s own Social Justice and Fairness Commission in June 2021 urged the introduction of land value taxation (LVT) as part of a reform to replace council tax, business rates and Land and Building Transaction Tax."


ICAS logo

Should we expect a land value tax in Scotland?

"In Scotland, the concept of LVT is finding favour not only within SNP circles. It is also supported by the Scottish Green party and by some within the Scottish Liberal Democrat and Scottish Labour parties. There is also a degree of support for LVT at a UK level. LVT is not a hypothetical fiscal concept of limited academic interest. It may actually happen."


ALM-Globest logo

Detroit Eyeing Land-Value Tax to Spur Development

"City officials in Detroit are considering a proposal to adopt a land-value tax, a measure that would significantly raise taxes on vacant land while giving building owners, including homeowners, a tax break..."


LIncoln Institute logo

Taxing Land More Than Buildings Would Help Detroit Homeowners and Spur Development

"Reforming Detroit’s property tax system by taxing land at a higher rate than buildings would help to revive the local economy and reduce tax bills for nearly every homeowner..."


Strong Towns = Pennsylvania Land Tax Experiment

The Pennsylvania Land Tax Experiment - The Case of Harrisburg

"...the City of Harrisburg was considered the second most distressed in the United States twelve years ago under the Federal distress criteria. Since then, over $1.2 billion new investment has occurred here, reversing nearly three decades of very serious previous decline. The two-rate system has been and continues to be one of the key local policies that has been factored into this initial economic success here."

The Case of Allentown

"The city of Allentown adopted LVT in 1996, establishing dual tax rates of 5.038% on land value and 1.072% on building value."

"...Construction returned to the city: the number of taxable building permits surged past neighboring Bethlehem, market investment returned, and capital improvement reappeared in city budgets. Tax burdens on productive work and business declined. The losers in this trade were absentee owners of vacant lots, who had to shoulder much more of the burden."

Helping Forgotten Citizens

"...We have an aging demographic, like the county, region and the state. Taxpayers everywhere are less able to keep up with taxes, and that hurts revenue. LVT helps us mitigate the impact both to them and the city. It’s a win/win."

If the Land Tax Is Such A Good Idea, Why Isn’t It Being Implemented?

"The value of land is collectively, publicly created. But private landowners can appropriate this publicly-created value regardless of whether or not they put it to productive use. In other words, they don’t have to contribute to the good party going on around them."


The Tax Justice Network logo

Benefits Of Land Value Taxation

"The Tax Justice Network believes our tax and financial systems are our most powerful tools for creating a just society that gives equal weight to the needs of everyone..."


Alter - German Lander

What Is Land Value Tax And Why Would It Be Good For Britain?

In summary, Land Value Tax is pro-enterprise and green. Its introduction would allow other taxes to be reduced; especially those on income and profits. Enterprise would be better rewarded


Alter - German Lander

Germany Lander to introduce a land value tax

There is link in the first line of this text that connects to a page written in German with no translation. If you are keen to read it I have a translation here.