Pilot program of property tax in China

The National People’s Congress Standing Committee decided to carry out the pilot program of property tax reform in some areas on 23 October 2021.

Period:

Five years. It shall go into effect as of

the date of promulgation, and the start time of the pilot program shall be

determined by the State Council.

Aims:

1) to advance the property tax

legislation and reform in an active and prudent way；

2) guide the rational housing

consumption and the economical and

intensive use of land resources；

3) facilitate the steady and sound

development of the country’s

property market.

Object of taxation:

All types of residential and non-

residential property in pilot areas,

lawfully-owned rural homesteads and

houses built on them are excluded. Non-residential property shall continue to be implemented in accordance with the Interim Regulations of the people’s

Republic of China on real estate tax

and the Interim Regulations of the

people’s Republic of China on urban

land use tax.

Taxpayer:

The holders of land-use rights and

house owner.