Land Commission to look at potential for land value taxes in Scotland

The Scottish Land Commission is asking for tenders to investigate international experience in land value taxes to identify policy options for Scotland.

The Land Commission has issued a notice on Public Contracts Scotland (PCS) asking for contractors to submit tenders to carry out research in to the range of ways land value taxes have been used. This will inform future consideration of land value taxation options for Scotland based on the experiences of other countries.

Land value taxation is a tool for raising public revenue through an annual charge based on the rental value of land and typically levied against the unimproved value of that land not taking into account any buildings, services or infrastructure.

Chair of the Land Commission, Andrew Thin, said:

“Land value taxation has been an important element of the land reform debate in Scotland for several years and the Scottish Government has asked the Commission to look at the potential for land value based taxes.

“This initial work looks at how land value taxes have been used to realise relevant policy objectives elsewhere and what practical issues would need to be addressed in considering their use in Scotland.

“The work will also assess the potential of land value taxation in contributing to a more productive, accountable and diverse pattern of land ownership and use in Scotland. The final report, which is due to be submitted to the Commission in June 2018, will identify a set of potential policy options for further consideration.

“We are keen to stimulate discussion on if and how land value based taxes could help make more of Scotland’s land with stakeholders and amongst the general public. This important piece of work is the first step on that journey.”

Completed quotes must be submitted via PCS by 12:00 noon on the 19 January 2018.