Property tax or three-step levy to suppress the property market is not intended

Source: Internet
Author: User
Keywords Real estate investors now
Tags basic economic economics finance it is local local government market
Recently, in Beijing, the 11th session of the CPPCC 3 meeting, the latest news will be levied on the property tax at the end of next year. The core source of this message comes from the deputy dean of the Taxation College of the Central University of Finance and Economics and vice chairman of the Beijing CPPCC Economic Committee, Liu Huan in the panel discussion.  "Investor" reporter February 3 in Cufe interviewed the tax expert.  Disputed property tax, idling for years opaque "investor": The recent rumors of the introduction of property tax, is said to be in the Political Consultative Conference has been a heated discussion? Liu Huan: That's true. The proposal I submitted at the CPPCC meeting was about property tax.  There was a lot of discussion about the property tax at the meeting, and the debate was fierce. The main objection is that levying the property tax is a very big crackdown on China's real estate, which is disastrous. Especially from the real estate industry, CPPCC members.  To be honest, there is more opposition than approval when discussing the subject of property tax.  Investor's report: What are the points of contention? Liu Huan: There were four main points of contention at the time: first, did the introduction of property tax Change the original intention. The first proposed property tax, is to improve the tax system reform and establish a perfect local tax system.  Why not say late not to say, now house prices rise so high when the summary of the levy of property tax, is not to become a stick to suppress real estate?  The second focus, which has already been leasing and the property tax, is not repeated taxation? Besides, will the levy of property tax increase the burden on people's housing? Is the current levy of property tax technology, including the feasibility of management means?  It is also a topic that members have discussed more.  "Investor": the property tax idling not for many years, how can we argue about technical problems? Liu Huan: At present, 10 cities are engaged in the pilot property tax idling, but there are many idling schemes, each city is different. But what the effect is, the outside world is not known. What are the technical shortcomings, the means of collection and management need to improve, we do not know.  Naturally, this is a controversial issue.  To perfect the tax system is not to suppress the real estate investor newspaper: What considerations are you proposing for a property tax? Liu Huan: The main problem is to improve the tax system.  At present, China's turnover tax is relatively advanced, income tax to achieve basic coverage; Property taxes generally fall into two categories: the first estate tax and the second real estate tax. The property tax in our country although occupy a lot of, farmland tax, land use tax, deed and so on. But very fragmented, the first income is not many, the second levy method is still in the early 80 's establishment, although after the 90 's reform, but basically did not reflect the real estate market, especially the real estate is now booming state. So we use the framework of planned economy tax to adjust the current market conditions.  Therefore, there are many many places that do not adapt, more contradictions. The introduction of property tax, in essence, is to improve the tax system for local government to concentrate more planning, more long-term healthy and stable income.  To tell you the truth, I am a strong advocate of levying a property tax as soon as possible, and I think there is a preliminary condition for the levy. "Investor": the real estate industry opposition is very strong.  What do you think of this dissenting voice? Liu Huan: As early as 2004, I called for the introduction of a property tax. I found that the property tax has always been raised after the ups and downs, once the housing market recession, then the property tax problem is not mentioned;  So from the appearance of the property tax and the whole development of the real estate market relationship. In fact, this is a misunderstanding, when the idea of the property tax, the Chinese real estate market did not soar, but belong to more stable, China's real estate from the current flexor from the beginning of 1998 is officially launched, when the central issued a document pointed out to actively promote real estate housing reform,  At that time in 2003, we have a vague understanding of real estate, housing prices are not high, the market runs relatively smooth, the industry has not produced profits, so from the source to see the introduction of property tax and curb prices is irrelevant. Of course, the introduction of property tax will certainly have a short-term impact on the real estate industry. And, overall, the past real estate regulation, whether it is eight countries, or 11 countries, are from the supply of regulation of real estate, and property tax is from the demand to adjust.  Regulation of real estate, tax measures can be said to be more effective. Some people say that the central and local interests of the dispute, resulting in the State administration of taxation to introduce a property tax is not positive. actually not exactly. Now the local government is unwilling to introduce a property tax. They think it will also depress property.  I also made it clear at the meeting that the crackdown is not necessarily a bad thing. Three steps, basic residential not tax "investors": the CPPCC meeting on the property tax is so fierce, finally there is no unanimous conclusion?  How do you think the future property tax will progress?  Liu Huan: I have a complete proposal in my proposal: the process of property tax will be divided into three steps. The first step is to standardize commercial real estate. Because the current commercial real estate has the land use tax and the real estate tax, the land use tax and the real estate tax merge, changes calls the property tax. At present, the land use tax is levied according to the area, like Beijing, 1 square meters about 50 yuan, the property tax is 70 percent after the evaluation value of 1.2% levy, 70 percent 1.2%, is 8.4%, plus land use tax, tax will not exceed 1%.  This is also the social spread of property tax burden 0.84%~1% between the origins. Now the main developers of commercial real estate are opposed to the most intense, that the burden is heavier. In fact, completely redundant. Before the two tax levy 1%, now 2 in 1 together, or 1%, there is no impact. Why start with commercial real estate?  We have calculated that more than half of the city is commercial real estate, this part is done first, is to clarify the prerequisite for tax reform. The second step is to levy property tax on mansions. When the CPPCC will discuss it, some people say that the mansion is difficult to define. In factMansion is a recognized standard, the Ministry of Construction has clearly stipulated that first, the volume rate is less than 1, the second is higher than the price of local prices more than 20%.  It can be said that people who buy a mansion are generally not the first suite, the economic affordability is stronger, the tax can be affordable. The third step, the accumulation of experience on the General Housing Levy property tax.  We predict that this is a long-term process that takes about 5-8 years. Now there are several main points of concern to the people, first, the basic housing should not pay property tax. This is an issue that has been repeatedly discussed by the tax community. My point is that it should be tax-free. According to foreign standards, not to say, as long as the purchase will pay taxes, but China is different.  The person who bought the house is not necessarily middle-class, now the house is so many, it explains the problem. There is no obstacle to the first step, and the only obstacle is the procedural problem of legislation. As far as I know, there is no property tax in the legislative plan of the NPC this year. However, the introduction of a three-step property tax, the basic housing is not taxed, these are basically set.
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