TABLE 3
FROM:
Moral Hazard in Property Tax Administration: A Comparative Analysis of the Czech and Slovak Republics
Phillip J Bryson and Gary C Cornia
BACK TO ARTICLETable 3. Centralisation vs decentralisation of property tax administrative tasks
| Administrative function | Appropriate administrative level | Explanation of outcome |
|---|---|---|
| Property discovery | Sub-national | Local officials have better knowledge of land and improvements to land. Better knowledge of ownership and use of land and improvements. |
| Valuation skills | Central | There are few valuation experts at either level of government. Simple valuation techniques minimise the problem. Local officials are more easily influenced by political pressure to keep values low. |
| Technical support | Central | Central administration will have access to better technical support and international experts. It will also have better access to information technology, GIS, and modelling techniques. |
| Resources | Central | Central administration will have access to more financialresources, including resources from international agencies. |
| Scale economies | Central | To the extent that economies exist the central government will be in the best position to exploit them. |
| Administrative innovation | Central | Central government has greater access to international experts and opinion leaders. |
| Appeal | Central | Central administration is less likely to be influenced by politics during appeals. |
| Audit | Sub-national | Local units will be more motivated to audit performance and compliance with the property tax. |
