(13th NPC) Property tax regime to take cue from overseasChina | 7 Mar 2018 5:54 pm
China will develop its real estate tax system on the basis of domestic conditions and practices in other countries, a senior finance official said today in Beijing.
Real estate tax is used by many countries to boost fiscal revenue, while readjusting income distribution for social fairness, Deputy Finance Minister Shi Yaobin told a press conference in Beijing, Xinhua reports.
In many countries, real estate tax is levied on industrial, commercial and individual properties based on assessed values; tax reduction is granted to low-income and disadvantaged groups; the tax is levied by local governments for public services purposes.
Shi said the finance ministry and the national legislature will refer to common practices during the drafting of the real estate tax law.
He added that China's own specific conditions will also be considered, such as necessary integration of some other taxes, and the reduction of tax burdens on the real estate development and trade.
The budgetary affairs commission of the National People's Congress Standing Committee and the Ministry of Finance are jointly drafting the law, and debate on important issues and internal consultations are underway, Shi said.