Issues
Taxation is not the only issue facing Hoosiers today, but it might as well be. Indianapolis ranked #6 for overall tax burden in a study of the largest cities in each state. That's before the 2007 property tax fiasco (final revised 2007 property tax bill increased approximately 10% over 2006, when we already had the highest real estate tax burden in the study) and the 17% sales tax increase.
Switching to Land Value Taxation won't solve all of Indiana's problems, but they won't be solved without it. Our current tax practices only exacerbate them. There is overwhelming evidence that LVT spurs the economy, produces real jobs, reduces urban sprawl, reduces government bureaucracy, lowers the cost of government services, reduces the need for welfare programs, creates an incentive for the private sector to build low-cost housing, and reduces transportation costs. LVT is determined by free-market forces, is naturally progressive, is proportional to benefits received, and is morally and ethically justified.
Though LVT is used in hundreds of communities world-wide, it is usually only to a limited extent. In most cases, the tax on land is increased to the extent that property taxes on improvements are decreased. But there is no reason to stop there. I call for the elimination of all property taxes on improvements, and the elimination of all local sales and income taxes. LVT can replace all local taxes while reducing the tax burden on productive activities.
I support the further use of LVT to replace all state-level taxation (sales and income) as well.
As a Libertarian, I support freeing the free-market of the burden and distortionary effects that result from other methods of taxation.