Research On The Effect Of Land Tax In Process Of Guide Allocation Of Urban Land Resources

Land resource is the substantial base of human existence and development. Urban land acts as the important carrier of urban economic activity which also supplies basical life and development space for citizen, and the city development calls higher request on land. With the acceleration of urbanization, urban land becomes more and more sparsity. Rationality of distribution is an important factor which affects the process of social and economical development. Market mode is the most commonly used method to solve the low efficient utilization of urban land resource. It will become invalidation on account of externalities, asymmetric information etc. On this occasion, the government should play macro-control role and intervene the market. As the important mean of macroeconomic regulation, because the own resource allocation effect, tax becomes primary path for allocation of urban land resources. Wuhan has gradually taken the lead in the development of central China, then the allocations of urban land resources have a higher priority. Land tax which acts as an economical level plays a significant part in rational allocation of land resource, therefore, the improvements of land taxation has become a major issue to the development of Wuhan.This paper argues that land taxation is non-neutral, it can regulate the land revenue and effects the decision-making behavior of economic subject. Therefore, land taxation could be used as an efficient countermeasure for the government to lead the allocations of urban land resources.First, this paper begins with basic analysis of mechanism how taxation guiding land resources allocation. With the precondition of taxation is non-neutral and via land tax achieve the aim of internalization of external cost, analyze the action of taxation in the process of resources allocation in different assessment way. The effects of land taxation on demand and supply sides in land market were analyzed, then several typical taxes were chosen for further analysis.Secondly, after the founding of new China, the paper summarizes and analyzes the change of land tax system in Wuhan city and finds out the problems and finds out the problem and the shortages of the land tax system. Based on the comprehensive analysis of mechanism that tax guides the allocation of resources, the paper explains the action of tax in allocating resources. According to different use of land, the urban land resource was classified into residential land, industrial land and commercial land. Then we construct different models and have their price elasticity of supply and demand. Then uses the formula to calculate the results of resources allocation. The results indicates that land tax have effect on resources allocation, and with the fixed number of year to increase, the numerical is grow. We also finds out that the numerical is grow if tax rate is increase. Especially when the change in policy, the numerical increase markedly. It is thus clear that the action of land tax in process of resources allocation has play a positive role.Finally, base on both the analysis of theoretical and empirical and learn the other countries experience, aim at the shortage of land tax system, this thesis comes up with the policy implications to improve the land tax function efficiency as following five aspects:a) The tax system should more scientific and foresight. b) To manage strictly the land grant fee, and increase the number of land tax. c) Perfect categories of taxes, d) Rational design the tax base and tax rate. e) Strengthen the force of supervision.