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China's deed tax law is about to be implemented and preparations are ready
China News Service, Beijing, August 30 (Reporter Zhao Jianhua) The Chinese Deed Tax Law came into effect on September 1, and the local authorization has been completed. According to the State Administration of Taxation, preparations for collection and administration are ready.
The deed tax law stipulates that provinces, autonomous regions, and municipalities directly under the Central Government determine specific applicable tax rates within the range of 3% to 5%, and different tax rates can be determined for the transfer of ownership of different subjects, regions, and types of housing. Provinces, autonomous regions, and municipalities directly under the Central Government may offer reductions and exemptions for the expropriation or expropriation of land and houses by people's governments at or above the county level, and the loss of houses due to force majeure. Local authorizations are proposed by the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government, reported to the Standing Committee of the People's Congress at the same level for decision, and reported to the Standing Committee of the National People's Congress and the State Council for the record.
At present, 31 provinces, autonomous regions, and municipalities directly under the Central Government have completed the work of local authorization in accordance with the provisions of the Deed Tax Law, and clarified the specific applicable tax rates of the deed tax. The State Administration of Taxation has recently issued announcements one after another, clarifying matters such as deed tax payment services and collection management.
Among them, 27 provinces, autonomous regions, and municipalities directly under the Central Government have determined the applicable tax rate as the lowest level stipulated by the tax law, namely 3%; Hunan Province has determined it as 4%; Hebei, Liaoning, and Henan have determined two tax rates of 3% and 4%. Among them, Hebei and Liaoning apply a 3% tax rate for the purchase of ordinary housing by individuals, and Henan for the transfer of housing ownership.
Liu Yi, deputy director of the Property and Behavioral Tax Department of the State Administration of Taxation, said that overall, compared with the current deed tax rate, most regions in the country have maintained their tax rate after the implementation of the tax law, and 8 omissions such as Heilongjiang, Henan, and Hubei have been reduced. The tax rates determined by localities are consistent with the current tax rates, which reflects the legislative principle that the tax burden level remains unchanged. Lowering the current tax rate reduces the burden on taxpayers and will further stimulate the vitality of market entities.
According to calculations, Hubei Province lowered the deed tax rate from 4% to 3%, which is expected to release nearly 4 billion yuan in policy dividends for the province's market entities each year.
The Ministry of Finance and the State Administration of Taxation issued an announcement on the 30th, clarifying the connection of relevant preferential policies after the implementation of the deed tax law. The announcement will be implemented from September 1, 2021.
If a husband and wife divide their joint property due to a divorce, the ownership of the land or house will be exempted from deed tax.
Urban employees who purchase public housing for the first time in accordance with regulations are exempt from deed tax. Ordinary housing built by public-owned units by raising funds to build housing for employees or ordinary commercial housing purchased by the unit, approved by the housing reform department of the local people’s government at or above the county level, sold to the employees of the unit in accordance with the national housing reform policy, if it is an employee For the first purchase of housing, deed tax is exempted in the same way as public housing. The purchased public housing is exempted from deed tax if it becomes a fully-property housing after the supplementary payment of the land transfer price.
A foreign bank branch is restructured into a wholly foreign-owned bank (or its branch) in accordance with the "Regulations on the Administration of Foreign Banks of the People’s Republic of China" and other relevant provisions. Levy deed tax.
After September 1, the deed tax preferential policies that will continue to be implemented include:
1. For individuals purchasing the only house in the family (the range of family members includes buyers, spouses, and minor children, the same below), with an area of 90 square meters or less, the deed tax will be levied at a reduced rate of 1%; the area is more than 90 square meters Yes, the deed tax is levied at a reduced tax rate of 1.5%.
2. For individuals purchasing a second set of improved homes for families with an area of 90 square meters or less, the deed tax will be reduced at a rate of 1%; for those with an area of 90 square meters or more, the deed tax will be levied at a reduced rate of 2%.
3. Beijing, Shanghai, Guangzhou, and Shenzhen will not implement the second deed tax preferential policy for the time being.
zhttp://news.xhby.net/index/202108/t20210830_7213392.shtml
2021/08/30 21:46
China News Service, Beijing, August 30 (Reporter Zhao Jianhua) The Chinese Deed Tax Law came into effect on September 1, and the local authorization has been completed. According to the State Administration of Taxation, preparations for collection and administration are ready.
The deed tax law stipulates that provinces, autonomous regions, and municipalities directly under the Central Government determine specific applicable tax rates within the range of 3% to 5%, and different tax rates can be determined for the transfer of ownership of different subjects, regions, and types of housing. Provinces, autonomous regions, and municipalities directly under the Central Government may offer reductions and exemptions for the expropriation or expropriation of land and houses by people's governments at or above the county level, and the loss of houses due to force majeure. Local authorizations are proposed by the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government, reported to the Standing Committee of the People's Congress at the same level for decision, and reported to the Standing Committee of the National People's Congress and the State Council for the record.
At present, 31 provinces, autonomous regions, and municipalities directly under the Central Government have completed the work of local authorization in accordance with the provisions of the Deed Tax Law, and clarified the specific applicable tax rates of the deed tax. The State Administration of Taxation has recently issued announcements one after another, clarifying matters such as deed tax payment services and collection management.
Among them, 27 provinces, autonomous regions, and municipalities directly under the Central Government have determined the applicable tax rate as the lowest level stipulated by the tax law, namely 3%; Hunan Province has determined it as 4%; Hebei, Liaoning, and Henan have determined two tax rates of 3% and 4%. Among them, Hebei and Liaoning apply a 3% tax rate for the purchase of ordinary housing by individuals, and Henan for the transfer of housing ownership.
Liu Yi, deputy director of the Property and Behavioral Tax Department of the State Administration of Taxation, said that overall, compared with the current deed tax rate, most regions in the country have maintained their tax rate after the implementation of the tax law, and 8 omissions such as Heilongjiang, Henan, and Hubei have been reduced. The tax rates determined by localities are consistent with the current tax rates, which reflects the legislative principle that the tax burden level remains unchanged. Lowering the current tax rate reduces the burden on taxpayers and will further stimulate the vitality of market entities.
According to calculations, Hubei Province lowered the deed tax rate from 4% to 3%, which is expected to release nearly 4 billion yuan in policy dividends for the province's market entities each year.
The Ministry of Finance and the State Administration of Taxation issued an announcement on the 30th, clarifying the connection of relevant preferential policies after the implementation of the deed tax law. The announcement will be implemented from September 1, 2021.
If a husband and wife divide their joint property due to a divorce, the ownership of the land or house will be exempted from deed tax.
Urban employees who purchase public housing for the first time in accordance with regulations are exempt from deed tax. Ordinary housing built by public-owned units by raising funds to build housing for employees or ordinary commercial housing purchased by the unit, approved by the housing reform department of the local people’s government at or above the county level, sold to the employees of the unit in accordance with the national housing reform policy, if it is an employee For the first purchase of housing, deed tax is exempted in the same way as public housing. The purchased public housing is exempted from deed tax if it becomes a fully-property housing after the supplementary payment of the land transfer price.
A foreign bank branch is restructured into a wholly foreign-owned bank (or its branch) in accordance with the "Regulations on the Administration of Foreign Banks of the People’s Republic of China" and other relevant provisions. Levy deed tax.
After September 1, the deed tax preferential policies that will continue to be implemented include:
1. For individuals purchasing the only house in the family (the range of family members includes buyers, spouses, and minor children, the same below), with an area of 90 square meters or less, the deed tax will be levied at a reduced rate of 1%; the area is more than 90 square meters Yes, the deed tax is levied at a reduced tax rate of 1.5%.
2. For individuals purchasing a second set of improved homes for families with an area of 90 square meters or less, the deed tax will be reduced at a rate of 1%; for those with an area of 90 square meters or more, the deed tax will be levied at a reduced rate of 2%.
3. Beijing, Shanghai, Guangzhou, and Shenzhen will not implement the second deed tax preferential policy for the time being.
zhttp://news.xhby.net/index/202108/t20210830_7213392.shtml