Current Management Current State Property Taxes are set at ~1.05%, with municipalities adding additional rates. –This ratio is based on a lumping of land & building values Money collected goes towards the state education fund Additional taxes are assessed for buying, selling, and patterns of current use –Current Use Tax, Property Gains Tax, Property Transfer Tax

Current Revenue Current Use Penalties –$489,540 Speculative Gains Penalties –$5,646, Property Transfer Tax –$38,315, State Property Tax –$696,371,326 Total Revenue –$740,822,540

Proposed Revenue Median home prices in Vermont have seen a steady rise of 5% between 1980 and 2000 –This represents a massive private capture of publicly created value –A state land tax of 5% would capture most if not all of this rent, collecting $1.07 trillion, an amount comparable to the entire state budget Median home prices between 2000 and 2007 rose from $5.4 billion to $21.4 billion a 21% increase each year Revenue neutrality is often an important selling point in the implementation of a single tax on land –A tax rate of 3.457% applied to the $21.42 billion in assessed land values would capture what the 4 combined taxes currently do.

Changes to Management Structure A single tax on land values could effectively capture the same amount of revenue as the 4 major property taxes already do. This shift could have the effect of curbing sprawl while providing more affordable housing by removing disincentives to provide such housing.