Transit best financed through LVT
Dedicated transit tax runs out of gas fast.
Car culture councillors would quickly vote down Adam Giambrone’s suggested 3¢ transit-dedicated gas tax (NOW, November 22-28, circulation 400,000).
And even if it did pass, huge numbers of car people would tank up outside Toronto, driving and polluting even more.
Giambrone says the property tax base is already “overburdened,” but equally so are the income tax base and the sales tax base.
A Land Value Tax is a better way to finance transit.
Unlike income and sales taxes, collecting the rental value of land isn’t a new tax, since it doesn’t take the money people actually earn; it collects the unearned rise in land value (economic rent) that always occurs near new transit, and is the ideal source of revenue to build transit.
Frank de Jong