Tax The Land
City administrators all over the world use land taxation to generate revenue for day-to-day development activity and public works. Land taxation also helps in town planning by guiding certain land uses, controlling speculation, and promoting economic growth through efficient use of property.
The value of the land is an important portion of the total national wealth, especially in a country like Nepal with its poor capital base. The rationale for urban land taxation is that land as a resource should be subject to public control and managed properly in the interest of the nation. Public authorities must be able to recapture part of the landowner´s ´unearned´ income derived from the development of neighbourhoods through government investment programmes.