Land Value Tax
The value of land depends largely on what it is used for and where it is located.
Well-connected land in locations where people want to live, which is well served by public amenities, is more valuable than land without such advantages – but these advantages are often not created by the land-owner or occupier but by society, or public agencies acting on behalf of society. Many people believe that, because such increases are created by society, society as a whole should be able to capture some of the benefits. This notion of capturing publicly-created increases in land value is at the heart of discussions about land value capture.
The Land Commission is looking at how land value tax could help improve the productivity, diversity and accountability of the way Scotland’s land is owned and used, and engaging widely with stakeholders to undertake further analysis of the role land value tax could play in delivering land reform priorities.