For Henry George's single tax on land not to distort economic incentives,the tax would have to be on

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Henry George's single tax on land was meant to capture the economic rent generated by unimproved, raw land, rather than improvements or developed land. This tax would incentivize landowners to put their unused or underused land into productive use, as they would be paying a tax on the value of the site even if they were not using it. Taxing developed land or improvements would be distortionary, as it would discourage investment and improvements to land, which would be counterproductive to George's goal of encouraging efficient use of land.

For Henry George's Single Tax on Land Not to Distort