An Empirical Study On The Income Distribution Effect Of China 's Property Tax

With economic development, China’s income gap is growing. The wealth gap which is represented by the real estate has become one of the important reasons. As one tool to adjust the income gap, tax policy has been paid more attention. In recent years, property tax reform has been widely discussed. Whether property taxes can adjust the income gap has become the focus of debate. In this paper, it has an empirical test on whether the property tax to adjust income distribution by using empirical data. It provides an important empirical foundation for China to further improve the property tax policy. Therefore, the study of this topic has important practical significance. Based on the theoretical analysis, this paper use the empirical data. Then it analyses the effect of property tax on the income distribution. On this basis, it put forward the policy recommendations to improve the real estate tax combined with some countries and regions’ estate tax policy. Specifically, it includes the following several aspects of content. First of all, it sorts out the relevant theory. And it points out the measure of income distribution. Then it focuses on the analysis of the property tax of adjusting income distribution mechanism. These theories lay the theoretical foundation for the empirical research on the property tax the income distribution effects. Secondly, in the empirical part, it measures the real estate tax pre-tax and after-tax Gini coefficient through empirical analysis. We find property tax has a positive effect of income distribution regulation, and it can narrow the income gap. Thirdly, this paper sorts out the property tax policy of some countries and regions. It puts forward the experience which can be used for reference. Finally, on the basis of empirical analysis and some countries and regions of the real estate tax experience, it puts forward the improvement of China’s real estate tax policy recommendations.