Implementing two lines of revenue and expenditure to control land transfer

According to the Shanghai Securities Report, the Ministry of Finance, Ministry of Land and resources, such as five ministries recently issued "on the further strengthening of land transfer revenue and expenditure management notice" to require local land transfer income into the local treasury in full, expenditure through the local fund budget from the land transfer income to be arranged, the implementation of a thorough "two lines of income and expenditure" governance.　　Experts believe that, in this year's land transfer gold increase, the five ministries issued this document, the main intention is to strengthen land transfer revenue and expenditure management.　　The issue of revenue and expenditure governance highlights the financial Research Fellow of the Institute of Finance of the Academy of Social Sciences Zhiyong thought, the introduction of this document, the main purpose is to standardize the land transfer revenue and expenditure management, to solve the current land transfer and payment of existing problems. The notice points out that there are 5 main problems in land transfer and income management. For example, some areas of land transfer revenue and expenditure are not fully integrated into the local fund budget governance; some areas have collected land transfer income not in accordance with the provisions of timely payment to the local treasury, and some areas in arrears to land transfer income, failure to do so should be collected;　　And some areas do not prepare land transfer budget and so on. In fact, as early as 2006, the State Council issued "on the regulation of the use of state-owned land to transfer revenue and expenditure management notice" to require the land transfer revenue and expenditure into the local budget, "two lines of income and expenditure" governance, but there are still many local governments do not strictly enforce this policy.　　A total of 18 provincial and municipal 62.642 billion-yuan land sales were not included in the local government budget in 2007, according to an audit released earlier by the Audit Office.　　Strengthen the management of land transfer Gold Five ministries exaggerate, in addition to the State Council has clear provisions, any region and part of the concession can not be reduced or in disguise to transfer income. To achieve the goal of strengthening governance, the five ministries pointed out that the city and county land and resources management in the state-owned land transfer contracts, leasing contracts, transfer decisions, must be clear about the land transfer price, rent and allocation of land price of the total, payment time and payment method, after the approval of the land use and other land uses, The contract must specify the land price to be paid.　　For those units or individuals who do not pay the full amount of the land price, the five ministries and regulations shall not issue the state-owned land use certificates, nor shall they pay the proportion of the land price. The five ministries also put forward stricter requirements for the developers to pay the land transfer payment by instalments. Notice that the developer to pay all the land transfer price in principle not more than one year, special projects to be determined by the collective decision making bodies can be agreed in two years to pay all the clear. In addition, the first payment ratio of land transfer will be greatly improved, not less than 50% of the total land transfer price.　　The notice also clearly, the land lease contract agreed proper period should pay the land price (rent) should be paid all at once, not to be paid in installments. The five ministries will also severely the developers who defaulted on the land transfer. Notice that the failure to pay the land price, did not start construction according to the contractUnits and individuals shall not participate in the new land transfer transaction activities in arrears of land transfer income, and the information about default and breach of contract should be counted into its credit file, and it can limit its participation in land bidding and hanging activities by means of progressive bidding margin or liquidated damages.　　The notice also pointed out that after the sale of land or leasing, the governance part should be published in accordance with the provisions of the Chinese land market and the land visible market and other designated places.　　Land revenue growth over 100% this year, the land transfer money has increased substantially, is the document issued by the background. Statistics from the China Index Institute show that, as of November 23 this year, land sales in 70 cities nationwide increased by more than 100% per cent year-on-year.　　Ranked in the top 20 urban land transfer of the total amount of up to 621 billion yuan, an increase of 108%, Shanghai to 82.1 billion yuan of land transfer gold income ranked first in the country, Beijing to 63.9 billion yuan ranked second. Compared with last year's 38.2 billion yuan of land transfer money, Shanghai this year, the land transfer has increased by 115%.　　It is estimated that the 2009 annual land transfer in Shanghai will be more than 10% higher than the 2007 years of historical highs. The ratio of land transfer to local finance is also the important reason that the relevant part attaches great importance to the management of land transfer and income. Data show that in 2008, Jiangsu, Beijing, Zhejiang, Guangdong Province, four provinces and cities in the land transfer income ranked the forefront of more than 50 billion yuan.　　Beijing's land transfer gold accounted for 35% of the same period of revenue, Zhejiang, Sichuan, Fujian, Anhui, land transfer gold accounted for more than 30% of the proportion of revenue. "In fact, the ratio of land transfer to local finance is probably higher than the statistics, and many cities have reached more than 50%." "Zhiyong points out. (Reporter Zhang Yixia Yu Xiangming)