The Legal System Of Property Tax In China

The property tax law of China has a long history. The property tax law system can be traced back to the eighties in twentieth century. The promulgation and implementation of the " Provisional Regulations of the PRC property taxes" are marking the establishment of the real estate tax law system. Along with the development of the society and the economy, the real estate taxes play a more and more important role in China, it is not only supplies fiscal revenue for the government, but also is responsible for providing financial support for the infrastructure for the residents. More importantly, it is effective leverage of government for the regulation in the real estate market. The effective regulations of the government, which have maintained competitions in the real estate market fairness and sequence, protected the interests of market players in the real estate market, enhanced the resource flows, achieved the maximum profits and maintained the real estate market development in a healthy and order way.However, with the rapid growing of China's economy and the development of industrial structure, the real estate market continues to boom. Real estate market become hot spots for the investment, which tend to increase illegal operations in the real estate market. On the one hand, real estate developers hoarding houses, making a price hike, speculative reselling and other illegal operations happened everywhere; on the other hand, the other citizens cannot afford a house for living. As housing prices keep hinging, many people disappointed, and become the "no house family". This requires the government to regulate the real estate market. The property tax system has been established more than twenty years, the current real estate tax is gradually exposed the shortcomings, such as the heavy tax burden, tax mix, and the narrow coverage, As a result the antiquated legal system cannot adapt to the needs of the real estate market development. The function of the property taxes becomes weaker so that it cannot have enough regulation in real estate market. The legal system of property taxes which in the face of the chaos has not fully play its role in regulation of economy. We must pay attention to those problems. Therefore, the reform of the current legal system of property taxes for regulating real estate tax is very significant. It can stop the prices of the real estates rising, plays an important role in the real estate market promotion.This paper divided into four parts:In the first part, writer analysis the legal system of property tax. Describe the background of legal system of property taxes—the statues quo of taxes and fees in the real estate market. Then make assessment about the real estate taxes. Clarify the definition of property taxes, Analysis of existing property tax limitations. The writer believe that our current property tax system have shortcomings, such as heavy taxation, tax mix, no-scientific tax basis, narrow coverage, low level of legislation and related facilities are not complete and other defects. Depth analysis about the reasons why the legal system of property taxes are defected. Maybe it is because the different economic structures, tax over-centralization, lack of institutions and the other factors that combined.In the second part, writer points out that reform of the property tax and improve of the legal system are significance. The function of the real estate tax law reform and improvement are maintenance the order of real estate market, development of service-oriented government, make up for deficiencies of the legal system and safeguard social fairness. More important is those measures can fight effectively against real estate speculation, make the real estate market transaction efficiency, regulate social wealth flow, and narrow the social gap between rich and poor.In the third part, writer analysis feasibility and the necessity of the legal system of property tax reform. The necessity of the legal system of property tax reform reflected on the need of market regulation and the macro-control. The feasibility of the legal system of property tax reform in China is that China has already available conditions for legal system of property tax reform. So that our successful legal system of property tax reform is possible.In the fourth part, writer suggests some measures to reform the legal system of property tax. Learn from advanced experience of the real estate tax system in foreign countries, and then, tease out the principles of the real estate tax reform legal system, refined into concrete measures, mainly in the legislative mode, the elements of the real estate tax, the improvement of tax collection and protection. From the above three aspects, the writer pay attention to legal system in China, from the perspective of the property tax reform to the implementation of the operational measures. This part is also the most important of the whole paper because of its innovation.