Think tank to consider property and green taxes as options for funding local authorities

Published on Wednesday 2 September 2009 22:02

AN INQUIRY examining the options for local taxation will be launched today by a leading think tank.

The Institute of Revenues, Rating and Valuation (IRRV) is to hold a committee of inquiry.

Brian Jeffrey, IRRV Scottish Association president, said the review will include property-based taxes and a "mix and match" of funding options.

The IRRV represents local taxation professionals working in councils across Scotland – the people who administer council tax and non-domestic rates systems.

"Taxes are never popular," said Mr Jeffrey. "We are examining all the options for a local tax system in Scotland that will have elements of fairness and be sustainable.

"There could be a bundle of taxes with a main core property tax supplemented by green taxes. It could allow people to have more control over how much tax they pay."

In recent years there have been various reviews and consultations regarding the future of Scottish local government finance.

Last year, the Scottish Government consulted on its plans for a local income tax to replace council tax through its paper A Fairer Local Tax for Scotland.

But earlier this year the SNP government dropped this plan.

However, Finance Secretary John Swinney has pledged that the SNP will fight the next election to win a parliamentary majority that backs the abolition of the "unfair" council tax.

The inquiry will present its final report next September.