The Analysis Of The Economic Effects Of The Property Tax Reform In Shanghai And Chongqing

This is the first time in China for personal use property tax, The Property tax reform of Shanghai and Chongqing has attracted great attention from all walks of life. The imbalance of real estate market supply and demand structure, house prices high, difficult to local fiscal revenue, influencing the full play of the functions of local government. The residents income gap through property values is more and more bigger. These problems need adjusted by a perfect tax. Whether the property tax pilot reform has played an important role to adjust the above problem, how to position the property tax in the current stage of the functions properly and reasonably, this is the practical significance of this article research.This article mainly divides into five parts, having make a detailed elaboration about the research background, the theoretical mechanism of the economic effect about property tax, the situation of Shanghai, Chongqing property tax and the actual influence of the property tax. At the same time, put forward the main points about the function and positioning of the property tax.The first chapter is introduction. Mainly introduced the research background, the problems need to solve of this study. At the same time, make a brief introduction about research methods and main framework.The second chapter is the definition and literature review part. First of all, define the main concepts of this article in theory. Then, respectively from the perspective of price effect and income effect, making a summary of the main point about the economic effect for real estate tax reform.The third chapter is theoretical analysis part of the property tax. To tax the income effect and substitution effect as a starting point, mainly analyzes the property tax price effect and income effect.The fourth chapter is the status analysis of Shanghai, Chongqing real estate tax reform. This chapter includes two parts, The first part make a detailed introduction about the object, tax rates, tax payable and the deduction standard of the property tax reform. Making a analysis about the similarities and differences of the property tax reform. The second part points out the problems and deficiencies of property tax reform. There are problems of narrow tax base, low tax rate and the lack of legal basis.The fifth chapter is the economic effect analysis of the influence about the property tax reform. Combining with the status quo of the property tax reform, we analysis the real economic effects from housing prices, local fiscal income and personal income distribution.The property tax reform didn’t cause significant change in the pilot cities housing prices in a short time. Because of the questions of low tax rate and tax base narrowly, It’s not obvious to increase the fiscal revenue and adjusting income distribution.The fifth chapter is suggestions for property tax reform. According to the above research conclusion, then put forward reasonable suggestions. The main functions of the real estate tax is to regulate and guidance consumers. On the one hand, guide the behavior of buyers correctly, Change the concept of irrational buyers, Achieve rational allocation of resources of the real estate market.On the other hand, Play a regulatory role by the tax, suppressing the Speculation and Investment in the real estate market. Adjust the structure of the real estate market, making a transformation of government’s function.