SCOTS would face paying a local income tax on top of their council tax under proposals presented to a cross-party panel considering possible reforms to local government funding.
In a report prepared for the Scottish Government-backed commission on local tax reform, housing expert Professor Kenneth Gibb, of Glasgow University, argues it is "odd" for Scotland to have only one form of local tax when many countries levy multiple taxes to fund local services.
He makes the case for a "property tax and supplementary income tax approach," arguing it could combine advantages from both systems.
The idea is set out in a detailed report for the local tax commission, which will publish a range of options for ministers in the autumn.
Creating multiple taxes to finance local government was strongly rejected by Sir Peter Burt when he produced a plan - swiftly dismissed by then-First Minister Jack McConnell - to replace council tax with a levy based on one per cent of a home's value.
The former Bank of Scotland chief argued it would be perceived as a way of hiking the overall burden on taxpayers and would be costly and complex to operate.
Professor Gibb acknowledged the difficulties, saying "all of these challenges would need to be overcome".
However he said there "may be merit" in pursuing the idea.
He insisted it would help address problems of fairness associated with the council tax while retaining the "technical superiority" of property-based taxes.
Looking at international examples, the reported noted 23 out of 28 developed OECD countries operated multiple local taxes.
Plans for a local income tax were shelved by Finance Secretary John Swinney in 2009 following widespread opposition.
The cross party commission was set up amid growing concern over the impact of the SNP's eight year council tax freeze on local authority finances.
Earlier this year, experts, including Prof Gibb, said Scotland's councils needed greater fiscal autonomy to help combat the impending crippling effects of austerity on vital local services and jobs.
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