Fairer ways to tax property | Letters
Council tax needs to be completely revamped, writes John Worrall – and so does stamp duty, says Martin Weale
Sure, it would be nice if local councils got a slice of stamp duty on property purchases in their areas (Tycoon’s property spree prompts calls for taxes to stay local, 9 February) but the far more urgent need is for a revamp of council tax, as evidenced by Ken Griffin’s purchase of those two London bijous. Reportedly costing £195m, they will attract combined council tax of just £2,842, the same as any two local properties in top band H, each valued (at the last revaluation, in 1991) at more than £320,000. Again we see that only little people pay proper taxes.
So what to do? First, obviously, another revaluation. Second, recalibrate banding with bands, from A to Z if necessary, to reach right up the value scale. And third, levy a basic rate within each band on main homes of UK taxpayers and higher rates on all others, together with punitive and escalating rates on properties left empty.