In downtown Detroit, the city center has experienced a remarkable recovery since its bankruptcy over a decade ago. However, blighted areas still remain. The city’s mayor, Mike Duggan, has proposed a unique plan to reduce vacant land by implementing a split tax system. Under this system, land would be taxed at a higher rate, regardless of whether there are buildings on it, while property tax rates on buildings would be reduced. This approach, inspired by the ideas of liberal economist Henry George, aims to spur development and provide tax relief for residents. While some experts are skeptical, if successful, Detroit would be one of the first big cities in the world to implement this type of tax system.
https://www.economist.com/united-states/2023/10/05/detroit-wants-to-be-the-first-big-american-city-to-tax-land-value