Simulating the Effects of Split-rate Property Taxes on Development Intensity

A significant portion of local transportation funding comes from the property tax. The tax is conventionally assessed on both land and buildings, but transportation increases only the value of the land. A more direct, efficient way to fund transportation projects is to tax land at a higher rate than buildings. The lower tax on buildings would allow owners to retain more of the profits of their investment in construction, and have the expected side effect of increased development intensity. A partial equilibrium simulation is created for three sample cities to determine the magnitude of the intensity increase for both residential and nonresidential development if various levels of split rate property taxes were enacted.

Language

  • English

Media Info

  • Media Type: DVD
  • Features: Maps; References; Tables;
  • Pagination: 19p
  • Monograph Title: TRB 89th Annual Meeting Compendium of Papers DVD

Subject/Index Terms

Filing Info

  • Accession Number: 01158058
  • Record Type: Publication
  • Report/Paper Numbers: 10-1062
  • Files: TRIS, TRB
  • Created Date: Jan 25 2010 10:28AM