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China OKs pilot launch of property tax

 
0 CommentsPrint E-mail Xinhua, January 27, 2011
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The State Council, China's cabinet, has approved on a trial basis the launch of property tax reforms in some cities.

The pilot reform will tax property owner-occupiers for the first time, officials from the Ministry of Finance, the State Administration of Taxation and the Ministry of Housing and Urban-Rural Development said Thursday.

China's 1986 provisional property tax regulations did not tax owner-occupiers.

The cities themselves will decide the details of the real estate levy.

Municipalities impose property taxes on owners of real estate based upon the value of the property.

Shanghai and Chongqing are cities that will trial the tax first.

Shanghai set its property tax rate at 0.4 to 0.6 percent. Chongqing sets its at 0.5 to 1.2 percent.

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