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The Heartland Institute has recently endorsed land taxes. They've drafted model legislation for shifting taxes off of buildings and onto land.

The common one-rate property tax system creates tax disincentives to the construction of commercial, industrial, and residential buildings. Changing to a two-rate property tax system places a much lower tax rate on buildings and is more heavily based on the value of the property. This differentiation between land value and improvements on the land has helped revitalize downtown areas, lower annual tax burdens of homeowners, increase the number of construction jobs, and spur the production of housing.

This Act establishes a two-rate property tax system. It enables local governments, or local voters, to adopt a two-rate property tax and to implement such a system on any timetable. Localities choosing this option may then shift as much of the tax burden as desired from buildings and improvements onto land values. This system encourages economic growth and expansion which will have positive, long-term effects for the community and the state.

Heartland Institute: Palatine, Illinois, 847-202-3060;

contact via email: think@heartland.org.