California’s got 13 of nation’s most-profitable housing markets. Average profit for Silicon Valley homeseller is close to half a million. https://www.ocregister.com/2018/02/17/californias-home-to-13-of-nations-most-profitable-housing-markets/amp/?__twitter_impression=true.
Bay Area cities are sitting on a huge, obvious, and equitable tax revenue source, which needs no state approval: #transfertax to share homeowners windfall value gains on sale
I wonder, would a city-level capital gains tax be legal?
@WatsonLadd good question, not sure. Seems it might be approximated by altering the transfer tax.
Transfer tax that excludes the purchase price wouldn't be less legal then a transfer tax, but IANAL.
@SPUR_Urbanist did a 2016 study about San Jose's fiscal situation, considering many possible revenue sources, & endorsing increased transfer and parcel taxes; but looks like they didn't look at if it could be altered to be closer to capital-gains tax
I don't see why not. Transfer tax is legal, giving people money is legal, capital gains tax on land is both of those together. But then again the Carlin Principle is false.
Tax specifically the unassessed Prop 13 value