Pilot Reform And Prospects Of Property Tax

In recent years, the real estate industry has become a pillar industry and new economic growth point of China’s national economy, but part of the city’s real estate market overheating phenomenon, which not only threaten the security of real estate finance, a profound impact on the lives of the majority of the people and the State the health of the economy running. With the deepening of regulation of real estate, property tax reform is imperative. Improve and perfect the property tax system is conducive to regulate income distribution and social equity, is conducive to the improvement of national fiscal and taxation system, in line with the requirements of China’s "Twelfth Five-Year Plan. As property tax reform pilot cities of Shanghai and Chongqing, China, on the part of the personal, non-operating housing to maintain links taxation, and the accelerated expansion of the pilot have been inevitable, China’s real estate tax, however, is still immature, there are many problems.Between Shanghai and Chongqing to levy property tax reform pilot program conducted a comparative analysis, objective evaluation of the difficulties faced by the reform. Housing the city’s various stakeholders Game reflects the need for property tax and the economic and financial effects of the property tax reform trend, played a positive role, deficiencies are also within the normal range. Therefore, on the basis of lessons learned from abroad, further standardize China’s real estate tax for the inadequacies of China’s real estate tax. In this paper, through five major property tax pilot elaborate:The first part briefly describes the history and the real estate market of China’s real estate tax taxation for later expand to provide a clear background support. Followed by Shanghai and Chongqing pilot property tax rules and where the differences between the two are compared, highlighting the two programs where each bright spot. Further analysis of the property tax pilot lasted two years after effective (including rates, the tax system, and local revenues, income distribution) and the presence of many problems:the nature of the property tax to be clear, a narrow range of the object of taxation, lack of overall tax the corresponding adjustment of the structure, program design and policy objectives there is a deviation from the lack of strict legal normative.The second part, through the perspective of game theory analysis between the various stakeholders of the real estate market gaming process, which concluded reflects the need for property tax. After the brief introduction to the real estate market in the interests of the chain, this part analyzes the game or collusion of the various stakeholders, including:the game between the collusion of the game with collusion of local governments and real estate agency, real estate business and consumers Game, real estate. Game come to the real estate market is still a strength is not enough symmetry, the behavior is not up to standard, the risk is not enough peer-to-peer game. The final outcome of the game will only be local government, real estate has become the biggest winner, and consumers become victims of the game. Therefore, in the case of the limited role of the market mechanism cannot rely solely on the internal market factors control the growing trend of high real estate prices, it is necessary to take the power to intervene outside the market system, including administrative and legal means, such as property taxes.The third part of the combination of empirical analysis and quantitative analysis research the economic effects of the property tax, the fiscal effect, first of all, the impact of the tax reform by the SVAR model of inspection to maintain links response function, to study the reform of property taxes on real estate market prices that may arise the impact. Secondly, from a theoretical point of view to analyze the economic and financial effects of the property tax, including:price effect, the effect of affordable housing, financial income effect, income distribution effect, in order to come to the real estate tax on these aspects of the deep-seated.The fourth part, property taxes related to the experiences and lessons to learn from other countries to help as soon as possible to find property tax reform the path of development in line with China’s national conditions in China. Therefore, the part of the main analysis the Overview and beauty of the world’s developed countries, China and Japan, both positive and negative experiences, lessons learned. U.S. real estate tax advantages:wide tax base, less taxes; tax rate autonomy; reasonably require for tax relief; complete value assessment system.The fifth part, based on the analysis of the first four, combined with the spirit of the meeting of the Chinese government, property tax reform to promote analysis and propose appropriate policy recommendations, including:the return of the property tax property tax value; design a reasonable rate and tax relief range; expand the levy target range, the national real estate information network; Improving the Legal System, and the empowerment of local autonomy; overall consideration to other means of property tax reform.