this post was submitted on 06 Sep 2023
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You're correct that you could have a loophole through that method, but property taxes also have that method. I think the most logical solution would be for the city to be able to repossess the land if the taxes have not been paid on it in, say, 2 years, regardless of ownership. Gives one year of leniency in case of genuine liquidity issues, but avoids being able to skirt the law with corporate bankruptcies.
But, of course, if you write an LVT law with exemptions, deductions, special cases, etc., you make it very prone to evasion like any tax system with those does. At the end of the day, it does definitely come down to implementation.