Question

In 1963, the Legislature in Hawaii passed the Pittsburgh T ax Plan which changed property tax rates from a single rate levied on property values to a split - rate system in which land and improvements are taxed at different rates. As a result of the law, land in Honolulu was taxed at $15 per $1000 of assessed value and improvements were taxed at substantially less.

Suppose there are four major political interests in Hawaii: hotel, agriculture, small business and residents. Which of these (if any) is most likely to have opposed the Pittsburgh Tax Plan? Why? (B e careful to answer the question asked. Do not answer the question: ‘which is most likely to oppose taxation in general?’)

Answer 1