land tax

A land/location value tax (LVT), also called a site valuation tax, split rate tax, or site-value rating, is a levy on the unimproved value of land. It is an Ad valorem tax that, unlike property taxes, disregards the value of buildings, personal property and other improvements. The economic efficiency of a land value tax has been known since the eighteenth century. Many economists since Adam Smith and David Ricardo advocated for this tax, but it is most famously associated with Henry George, who argues that because the supply of land is fixed and the values of land's locations is created by communities and public works, the economic rent of land is the most logical source of public revenue.