Research On The Collection Of Private Property Tax In Taiyuan

Some problem have existed for long time, such as unreasonable arrangement, confusion of rant,tax and fee,“heavy circulation, high retention” and so on, which affect its regulation and securityfunctions to the property market. Therefore, the conception “to promote the reform of property taxsystem by the reform of property tax” has been put forward. The collection of property tax becomesthe breakout of the reform. The purposes of the collection of property tax are: to increase income oflocal finance, to bring property price down to reasonable level, to regulate the wealth gap, topromote rational consume, and to improve the structure of property tax and fee.Shanghai and Chongqing, as the experiment units, differ from each other at the followingaspects: the objects of tax; the basis of tax; and the tax rate. Moreover, the experimental effect of thetwo cities is not very clear. So the problem as whether to enlarge the range of the unit, and how toenlarge become a hot argument.This thesis analyzes the effect of collecting private property tax on the housing market inTaiyuan, especially simulating the effects of collecting private property tax on the housing price byusing economic principles and relative data. The results demonstrate that collecting the tax isbeneficial in letting the price of housing coming down to a rational level activating stock-propertymarket and restraining housing speculation. By simulating the effects of collecting private propertytax on the local finance, the results show that collecting the tax will increase the revenue and theincreasing is accumulated by year. Through the analysis of economic status in Taiyuan, the authorconcludes that collecting private property tax will be of help in promoting its economicdevelopment, boosting the living standard of citizens, perfecting housing tax regulation and makingthe development of property market sound and rapid. Economic, technology and policy conditionsare all the factors that will influence the collecting of private housing tax. Taiyuan now has alreadypossessed these factors; therefore, it is not only necessary but feasible to collecting private housingtax.In order to find out the understanding of private property tax of people in Taiyuan, we adoptedquestionnaire investigation. It shows three point: firstly, there is contradiction between supply anddemand in property market in Taiyuan, people’s housing demand can’t be met; secondly, the collection of private property tax have little effect on buyers for owner-occupied, but havesignificant effect on buyers for investment; thirdly, the collection of tax will project a certaininfluence on activity of stock-property market in Taiyuan.Taiyuan has a collection of private housing property tax policy conditions, technicaladvantages and economic basis. However, the drawback of current system, unreasonable tax systemand premature collection and management conditions still exists in the current system. Therefore,Taiyuan should be determined based on the object and scope, strive for initiative rightactively,establish and improve relevant supporting system, such as private housing registrationsystem, private property tax assessment system. And finally select the appropriate method of taxcollection and tax regulatory path.