The Thinking Of Solving The Problem Of Local Government Dependence On Land Finance

With the continuous advance of the urbanization process, the local financial revenue structure is gradually exposed the drawbacks. This unsustainable fiscal revenue model will give the local economy and the country’s economic growth planting hidden dangers. Building a steady financial revenue model is imperative. The establishment of sustainable local revenue structure will mean that the local government will gradually lose its "land finance". This will certainly be some influence in terms of the already cash-strapped local governments. The tax is the most stable, common economic adjustment lever. In order to get the support of local government, the author tries to build a kind of sustainable local fiscal revenue model that the government participates in land profit distribution rent replacing by tax. In order to get people’s supports, collecting house property tax should pick the right collection range and differences tax rate, to adjust the income distribution and to narrow the income gap. Finally it can achieve perfect structure of local fiscal revenue, make up for local government financial income gap, and realize the purpose of sustainable and healthy local government financial development.The basic structure and content of this paper are as follows:The first part is an introduction. This section is mainly the background of this study, significance and research advances. The second part is the relevant concepts and theoretical basis. It is to introduce the relevant concepts and theoretical basis for this article, including the tax theory of decentralization and financial theory. The third part is the present situation and problems of House property tax reform. This section describes the current status of over-reliance on the land finance for China’s local fiscal, specifically addressed the conditions of land finance and local financial before and after the Chongqing new property taxes. Then reveal the problems of the current personal property taxes. The fourth part is the idea of property tax replacement land grand fee, aimed at finding land finance exports. This section is based on the data to the2011Chongqing Municipality of residences. Under the conditions that assumed, I find the total new property taxes in Chongqing in2011, and convert the land net income into an annuity, then calculate the share of the land net income can replaced. The fifth part is about the conclusions of this paper, the suggestion and the instructions about continuing to study the contents.