> A vacancy tax no more compels someone to rent their property than an income tax compels me to be unemployed.
This analogy doesn’t make sense to me. Perhaps you can clarify.
This analogy doesn’t make sense to me. Perhaps you can clarify.
It's not illegal to not have kids. You won't go to jail. You're not penalized. You're just taxed at a higher rate.
It's not illegal to be employed. You won't go to jail. You're not penalized. You're just taxed at a higher rate.
It's not illegal to keep a vacant rental. You won't go to jail. You're not penalized. You're just taxed at a higher rate.
All of those are compelling in the same way: "Do this thing and we'll tax you less."
So taxes aren't fines or fees, and they don't force you to stop doing something you want to do or do something you don't want to. People still buy groceries despite sales taxes (which, again, we want people to buy stuff).
Thus, the argument that a vacancy tax compels rental property owners to rent their places falls. I'm not compelled by income tax to be unemployed, nor am I compelled by sales taxes to purchase no goods, nor are owners compelled to rent their places.
Because we don't have a choice. You need resources to survive, you need to work to acquire resources.
The government wouldn't hesitate to tax breathing if they were confident we wouldn't hang them for it.
Hence why we have tax efficient retirement savings, why certain expenses are tax deductible whilst others aren’t and why certain goods such as tobacco and alcohol might have additional taxes levied on them.