Research On The Property Tax System Of China

In recent years, the real estate market of China develops rapidly and the price of real estate has skyrocketed, which became the concerns of many people that it will trigger the financial risks in the market. In February 28 of this year, the cities of Shanghai and Chongqing began the implementation of property tax on personal house-holding. In the research, the author gives out a useful tax system based on the review of real estate tax system in China, the fundamental theory of property tax and foreign property tax systems.The thesis is composed of five parts. Part one introduces the literature review which discusses previous research on property tax from several angles, and gives a common conclusion. Part two introduces the theory of real estate tax and the real estate tax system of China. Besides, in this part a number of problems concerning the present real estate tax system are pointed out. Part three is composed by two parts. The first part elaborates on the significance of laying property tax in current situation. First, it helps the macro control of the real estate market, such as reducing the rapid rise of the price of real estate, balancing the gap between rich and poor. Second, laying property tax helps to improve the local tax system and increase local tax revenue. Third, it will guide the reasonable resources adjustment in the market. In part four, the author introduces the real estate tax system of the Japan, South Korea, United States, and Hong kong, the characteristics of property tax of foreign countries with regard to tax system design are analyzed, from which lots of lessons may be learnt. As the focus of this thesis, the fifth part deals with the system design concerning property tax. In this part, the author proposes the guiding ideology of levying property tax concluding the main goals, principles and the four basic problems of property tax. The tax system may be designed in terms of tax payers, tax object, the scope of taxation, the tax basis, the tax rates and so on. Based on what are mentioned above, the author puts forward corresponding matched measures.