A Discussion of pilot property tax levy issues discussion and analysis

[Abstract] With the cities of Chongqing, Shanghai pilot property tax levy is almost a year, the property tax as important taxes to adjust income and achieve social equity, increase fiscal revenue, in line with the "Twelfth Five-Year Plan", and finally put on the agenda and constant adjustment and change paper through property taxes levied on the United States, Japan, Russia and other countries Experience, combined with the actual situation of China's real estate tax, and put forward relevant recommendations.

[Paper Keywords] property taxes, international comparison, reference


I. Introduction
With the January 28, 2011 << Chongqing Interim Measures on the conduct on the part of individual housing levy property tax reform and the implementation details >> << Shanghai real estate tax were introduced, the pilot of the property taxes levied finally surfaced water. Shanghai and Chongqing, the first pilot reform, actively explore the property tax system suitable for the national conditions of China's real estate development as well as effective and feasible levy tax mechanism., the property tax to curb housing prices is not ideal, the property tax levy the outcome is not very satisfaction, housing prices fell largely depends on the macro-control policies, but the property taxes levied in the national conditions of our country such a socialist market economy as the background, it is not only an important means to ensure the healthy development of real estate, and also the maintenance market and social equity and harmony, and to ensure that the major initiatives and reforms of state revenue.

As the name suggests, the property tax is a property taxes to housing for the tax, housing tax residual value or rental income for the tax basis levied on property owners. The range mainly levied against cities, counties, towns and industrial and mining property levy, state organs, people's organizations, the army-occupied property, religious temples, parks, historical sites, personal non-business use of the property is not included. tax standards are divided into owner-occupied and rental, mortgaging the two cases, levy property tax residual value for owner-occupied real estate, for rent, mortgaging the real estate tax rental income shows that property taxes belong to the individual property taxes.

Currently, only a small part of the city, the pilot, the current property tax system there are still narrow the scope of taxation, the unreasonable tax basis, real estate taxes are too confusing variety of drawbacks, which need to be fully learn the basic practices of the international and experience, while promoting the healthy development of China's real estate industry continue to improve our tax code system.

Second, property taxes, international comparison and reference

Currently, real estate taxes are countries in the world are in a tax levied. Will be involved in the world, almost all of the state's tax system to the real estate tax, even occupies a large portion of its tax revenue, but the specific collection system are different.

(U.S.: "expropriation, according to local conditions."
The property tax is a local government tax, had already started to implement as early as in the early days, local governments in accordance with their actual situation to determine the tax rate imposed by law. Property tax main purpose is to provide financial support in order to place the various services and infrastructure construction, rather than as the primary means of regulating the real estate market, but to a certain extent on the supply and demand of the real estate indirectly affect their property The tax rate is based on local finances need to be developed by the state and local tax rate of around varies, and make small adjustments over time. Overall, the current rate of roughly between 1% to 3% between. example, the Los Angeles County Assessor's Office to determine the latest real estate tax rate in the July 1 assessment, major price adjustment based on market price information before and after the January of that year, the tax bill is mailed on November 1 of each year , if the homeowner does not receive a tax bill, it should take the initiative to the county government obtained grounds alone can not not received tax evasion of tax liability. due date for payment of real estate taxes, a year is divided into two, that of December 10 of the year on April 10 the following year. overdue additional penalty tax of 10%, untaxed overdue three houses were confiscated auction.

Property taxes in the United States as the basic principle of a wide tax base, less taxes to "from the distribution structure of the tax, the United States attaches great importance to maintain links of real estate tax, relatively light for the transfer of part of the tax burden in the United States, direct expropriation of land and housing is the real estate tax, the normalized in property taxes under the tax base is a certain percentage of the value of the real estate appraisal, but state regulations vary, ranging from 20% to 100%. Owning tax including trading links tax real estate income tax, is in the business of real estate or land, its proceeds or value-added tax revenue levied in the transaction process. U.S. real estate transaction tax rate of 2% paid in real estate transactions.

(II Japan: "assessing tax, with due consideration to fairness"

In Japan, the property tax is a local tax, levied by the local government to adopt a common collection methods in the standard rate of central government regulations and the maximum, the local government has the right to float in a reasonable range, greater autonomy right to decide, but for the real estate Owning, Japan has not yet established a special property taxes, but the property as a fixed asset, the objects to be included in the fixed asset tax levy. Its use is mainly used for local education, health and infrastructure utilities.

Japanese property taxes broadly, fixed asset tax, real estate tax assessable object is owned by the taxpayer in the urban and rural geographical housing, including housing, shops, factories, warehouses and other buildings, remove the waiver provisions of In addition, those who can increase the appendage of the housing value in use are in the tax base of the tax basis of the property taxes as the taxed houses assessed price. assessed price is in accordance with what the transaction price would have been under normal conditions, housing to determine current prices is to ensure stable tax burden
Simplify collection procedures, the implementation of the base year of assessment in the the housing tax basis in principle, that every three years the valuation time. In the second in three years, unless there is a real estate alterations, damage or municipalities disused division and boundaries change, generally not revalued. Valuation year as the base year, the tax based on the assessment of the amount of the base year shall prevail. housing valuation every three years, the tax can be levied in accordance with the actual value of the house to reflect the fair tax and simplify.

(C Russia: "differential tax rates, brewing reform."
Russia in December 1991 through the the << natural person estate tax law >> nationwide for natural persons in accordance with the difference in rate of property tax in Russia, the implementation of property tax is the difference in tax rates, the more expensive the price of real estate assessment, the tax rate is higher If a person has many properties, by the price of all property assessment and as the tax base, corresponding to the higher rate of tax. Russian real estate tax rate is determined jointly by the central and local government, national statutory tax rate range, the local government in prescribed by the state tax rate within the region's real estate tax rate to enact its own special groups to enjoy the real estate tax exemptions and concessions.

However, for a long time, Russia existence of taxes payable or too little, and other real estate valuation is too low to cause problems, becomes increasingly obvious drawbacks of no longer meet the requirements of the new situation, the real estate reform is imperative.

(D Mexico: "low taxes, flexible or" re free papers Download Center http://eng.hi138.com
real estate tax has a long history in Mexico, as early in the Spanish colonial period, local residents should they have immovable pay the costs of .1917 years, real estate taxes formally written into the laws of Mexico. After several changes, a better collection system currently has a Mexican real estate tax rate is low, the government hopes to take advantage of low tax rates to stimulate investment in the real estate market change the status quo of the slow growth rate of the real estate market. Mexico residents own property in accordance with the law, according to tax rates every year to the state government to pay a real estate tax appraiser to determine the value of the house by the Government to send.

Flexible way of Mexico to pay real estate taxes, monthly payments can, quarterly or even bi-monthly payment of a fixed time every year, the residents will be notified to pay real estate taxes, e-mail, and then to a local bank payment If you have an account in the bank, can also be apply for service tax automatically deducted from the account. addition, the local financial departments also specify a number of shops to collect real estate taxes.

From the comparison of several countries, the real estate tax as one of the important sources of local fiscal revenue, sources of revenue stability because of its easy-to-manage a little bit, in the system of local taxes account for a significant proportion of many countries in the property tax , adhere to the actual value of the housing assessment as the United States on behalf of the national tax basis, and focus on the real estate tax to maintain links to avoid excessive taxes and fees levied on the liquidity aspects of the real estate. "wide tax base, less taxes, low tax rates, reduce the tax burden in the residential construction and operation. countries through a different form of tax incentives for low-income groups, including tax breaks, exemption amount, etc..

Third, our property tax levy questions and suggestions

Property taxes levied in China is still in its infancy, although the effectiveness of the worthy, but the course of the pilot in Shanghai and Chongqing, also there are more problems. Include:

(A levy too narrow

Pilot from Shanghai and Chongqing, the scope of the collection is too narrow, limited to incremental room for more than two sets of new buyers and luxury villas, to some extent, some owners are wealthy groups are not very sensitive to the tax. property taxes in the case largely has the characteristics of the commodity tax, rather than levied by the stock of social wealth, property taxes in the true sense.

(Two tax rate is set to be verified

Whole, between Shanghai and Chongqing property tax levy tax rates are low, less forceful. Prices remain strong period, tend to have a certain degree of pass on such a low tax rate. Therefore, the determination of the current tax rate remains to be further demonstrated.

(Three legislative process is unreasonable

Shanghai and Chongqing pilot approach is just the decision of the local government, the basis of property taxes levied only "section 136 of the State Council executive meeting with the spirit". The fact that the two aspects of taxation and the current real estate tax regulations in the "non-operating real estate tax" on residential ownership, conflicting, not technically comply with the principle of tax legal. Because there is no solid legal fulcrum, cause The levying problems.

Real estate tax reform, the timely discovery of the problem, but also draw on the useful experience of foreign countries, lessons learned by the system design of Systems Science, steady progress to achieve the target of property tax reform.

(An implement the statutory tax principles, to speed up the legislative work of the estate tax

Tax the legal basis of the legal principles that our taxing body must and only taxed in accordance with the provisions of the law, the Taxpayer must pay taxes and only in accordance with the provisions of the law. Real estate legislative work should also comply with this principle. Course, taxation of the relationship between property tax to the vital interests of millions of families, therefore, what is the real estate tax, taxing the main, the main tax, tax rate, tax rate links, the tax period and place, tax relief, tax dispute, must be made by the State Authority clearly specified Therefore, when the conditions are ripe, as soon as Provisional Regulations >> << property taxes rise in the grounds of the laws enacted by the NPC, complemented by specific implementation details to be supporting.

(B) setting a reasonable property tax base and tax rates

Property tax base and the tax rate should be set to follow the easy things first, first narrow width of the principle of science to set the real estate tax base, tax rates and tax reduction or exemption can refer to the experience of the United States real estate tax, real estate tax broad tax base and low tax rates, "the principle of the central provisions of the tax rate of the highest on-line, local governments based on the actual situation of the local economic development, selected different applicable tax rates, both to ensure that the central macro-control over certain, but also reflects and take care of the actual situation of different countries and regions.

(C unified tax system, and gradually expand the scope of the collection

As property taxes a property tax in nature more emphasis on fairness, because it has the function of regulating the social gap between the rich and the poor, it is also an important source of the local fiscal revenue from long-term property tax should be gradually appropriate broaden the tax side, or the property tax will be difficult to really play a role.

Currently, we can see that the adjustments and improve the real estate-related tax policy has become one of the priorities of the government, although in the short term to see less than property taxes to expand the signal, but from the real estate tax is a general trend in the long run. Reality shows, promotion of real estate tax to the country's conditions are not yet ripe for the promotion of real estate tax is facing a lot of problems, it is not a simple financial problems, but involves the redistribution of benefits, adjustment of the tax structure, the overall economy is sustained and healthy development, real estate Tax reform is a gradual process, and we continue to find the problem on the basis of learning from foreign experience to implement property tax reform plan for Chinese characteristics. posted in the free papers Download Center http://eng.hi138.com

Tax Seminar Papers