A Study Of Legal Matter Concerning Real Estate Tax

Real estate tax is a kind of property tax in tenure. Its main function includes balancing the real estate income and collecting financial revenue for local governments, etc. By comparing the international practice with the status quo in China, appraises and dissects Chinese real estate taxation system, and puts forward suggestions of Chinese real estate taxation system reform according to the major conclusions draw from the economic analysis of real estate taxation. Meanwhile, observing the principles of efficiency, gradualness, "explicit rent, transparent tax and fewer fee", and abiding by the taxing policies of "wider range, fewer types and lower rates", the present paper proposes a viable alternative countermeasure for legislation of Chinese real estate tax. Since this proposal is drawn from research of real estate taxation analysis, it also has applicable to policy practice.The idea of land tax can be traced back to the era of slavery and taxes based on ownership of property were used in ancient times, but the modern tax has roots in feudal obligations owned to British and European kings or landlords. History of real estate tax research could be retrospect to an period of William Petty. The present paper treats real estate tax as a combination of house property tax, urban housing and land tax and land-use tax of cities and town. The author has proposed a definition of real estate tax which is: To determine the value of house and land which is located in China of the tax year, then put a tax on land user and house holder (include individual and artificial person), meanwhile changes in tax burdens vary with changes of market value.As a principal of collecting financial revenue for local governments, real estate tax is always at a premium. The legislation modes of prevailing real estate tax includes general property tax and individual property tax. Abiding by thetaxing policies of "wider range, fewer types and lower rates", the real estate tax has developed rather healthily in most developed market economy countries. Current form of real estate tax in China has only been established since 1980s, the immanent deficiency in real estate taxing system and serious problems which appeared in the development of real estate in China have given rise to the inefficiency in exerting the role of macro control in real estate taxing. In recent years, both central and local governments have done a great deal of work in implementing the development of real estate and the tax in transactions which turned out sufficient. However, the real estate taxing system reform in tenure is rather slow with serious deficiency. Therefore, it has became an urgent matter to bring forward feasible countermeasures for Chinese real estate taxation system reform according to the conclusion of international experiences of real estate taxation system.As the conditions vary in different countries and regions, there is no uniform option in the legislative mode of real estate taxation. China is a developing country and its' land resource is meager, therefore, we should make much of function of resource allocation concerning the legislative mode of real estate taxation. The author proposes a new legislative mode for China's real estate tax which is called mix-detached legislative mode. Meanwhile, the author advises both of house property tax and land tax should be treated as a separate tax items which has own different tax bearer and tax rate. This kind of design will accelerate not only most optimum distribution of resources, but natural depreciation of house. Besides the tax revenue system of real estate tax should be unification according to principle of the national treatment. Furthermore, tax basis of real estate tax shouldn't be calculated through land area, aboriginal cost and rental receipts of house, but market value. After taking full consideration of the unique character of real estate as a real property, integrating the real estate economic theories, and referring to the needs of dividing the taxation systems of central and local governments, the author...