Connecticut's Land Value Taxation Public Act: Who Would Bear the Burden?

摘要

Land value taxation or split-rate taxation (SRT) in Connecticut is close to reality with Public Act 15-184. We simulate short-run tax burdens for property owners in two Connecticut cities when moving from a uniform property tax to SRT. We examine whether higher valued property owners face higher tax increases when moving to SRT. A major contribution is our examination of horizontal equity with revenue-neutral SRT in a city's subsections, which this Connecticut legislation allows. We find the shift in tax burden among property classes is unique to individual neighborhoods. This highlights the importance of considering city sub-sections for implementing SRT.