LA Mayor Seeks to Halt ‘Mansion Tax’ for Wildfire Victims

Los Angeles Mayor Karen Bass is asking permission to temporarily exempt homeowners affected by January’s devastating Palisades Fire from the city’s controversial “mansion tax.”

Karen Bass

Photographer: Kyle Grillot/Bloomberg

Bass is pitching the LA City Council a one-time, three-year exemption for fire-affected homeowners, according to a letter she sent Thursday. She argues residents will then have more funds to rebuild or relocate, which would ultimately boost future tax revenues once the new or renovated homes are sold.

The Measure ULA tax, as it’s formally known, is also discouraging possible buyers, Bass said, who are lowering their offers to account for its cost.

“Sellers may ...