Study On The Base Assessment Of Real Estate Tax

In the 21st Century, with the rapid development of the real estate industry ,people in China pay much more attention to real estate taxation. The Third Plenary Session of the Sixteenth Central Committee of the Communist Party of China (CPC) brought forward that a unified and standardized real estate tax would be carried into execution when conditions permitted. After that, real estate tax has been a sustaining focus in the theoretical circle and practical departments. However, most experts and professionals focus only on the design and construction of real estate taxation, ignoring the research of real estate tax assessment. While, one of the preconditions to a successful implementation of real estate tax is deciding the gist of it, in another word, assuring the value of the tax base of real estate tax, that highlights the importance of constucting a reasonable system of real estate tax assessment.It is an international and inevitable problem that there are constant and fierce price fluctuations in real estate market due to the development of real estate economy and other concerning factors, which result in grievous tax loss and inequity of tax burden distribution in those countries that take historic cost as the tax base of property tax. Determining the value of real estate by single assessment as real estate tax base can induce problems, such as, considerable costs in the implementation of real estate tax, distorting local governments'views on local revenues, etc. When we take an international view, we can find that in the countries that have a complete and reasonable property taxation, most of them take assessment values of real estate as tax base of real estate tax. For example, America,England, Germany ,Lithuania ,both developed and developing countries , have successively employed mass appraisal as the main approach of tax assessment of real estate tax. Comparatively, real estate tax assessment is just setting off in China, correlative rules and regulations have not been constructed yet. According to that, based on the experiences of these countries, constructing a tax base assement system that fits the actual conditions of China is of great therical and practical importance .In this thesis, with the application of theories of real estate appraisal, the author uses various approaches of study (e.g. qualitative analysis and quantitative analysis, normative analysis , case study,comparative study etc) to anlyse the potential problems and the feasibility of building a system of real estate tax assessment in China based on helpful experiences of other countries. The thesis has six main parts. Chapter 1 Introduction. This chapter introduces the background and significance of the theme of this thesis, summarization of studies conducted home and abroad, methods of study employed in this thesis, and the logical structure of this paper . Chaper 2 Analysis of Practical Foundation of Real estate Tax Assessment in China. By analysing the problems embeding in the present real estate taxation in China, the author explores the necessity of implementing real estate tax assessment , practical foundations that have been built are also discussed in this chapter. Chapter 3 Analysis of Foundermental Framework of Real estate Tax Assessment. This chapter foucuses on the analysis of the key characteristics of real estate tax assessment, comparative study of real estate tax assessment and real estate appraisal, and the administrative system of real estate tax assessment. Chapter 4 Practices and Experiences of Real estate Tax Assessment Abroad. By analysing the methods used in the practice of real estate tax assessment abroad and their organizational forms, the author summarizes their enlightening and revealing impacts on the process of building Chinese real estate tax assessment system. Chapter 5 Analysis of Mass Appraisal of real estate Tax Assessment. This chapter focuses on the analysis of mass appraisal and the application of assessment softwares and modern digital technologies in real estate tax assessment. Chapter 6 Considerations on Constructing Chinese Real estate Tax Assessment System. Suggestions on law system of real estate tax assessment and organization of real estate tax assessment and contents of real estate tax assessment and appealing system of real estate tax assessment are commented in the last chapter.