| Summary: | We construct Laffer curves to evaluate the efficiency of local property tax collection based on a micro-level panel dataset referring to 2013–2016 and obtained from the Jerusalem municipality. Unlike previous literature, we apply a tractable ad hoc methodology, which, compared with the conventional approach, might prove to be more useful to practitioners and policy makers. Results indicate the efficiency of a tax policy designed to increase tax rates for on-sample taxpayers. According to one estimate, to preserve the same collected sum of payments as before, for the entire sample, the minimal anticipated required raise is 4.17% per annum. JEL codes: H71, R51, R52, Keywords: Local municipal tax, Laffer curve, Land uses
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