Research On Perfecting Legal System Of Real Estate Tax In China

Nowadays, real estate industry has a high place in national economy and a greatinfluence on the development of socialist market economy. In the current legal systemof China, there are ten main streams of tax which are closely related to the transaction,acquirement and tenure of real estate, including house tax, city and town land use tax,land value increment tax, deed tax, tax on land occupation, sales tax, city maintenanceconstruction tax, corporate income tax, individual income tax, and stamp tax. To keepbalance of real estate market and distribution of social wealth for government, realestate tax plays an important role in tax system. It is also an important source ofgovernment revenue.As the rapid development of real estate market, the legal system of real estate isgetting perfect step by step, but it still can’t fit the need of the development of realestate market. The major problems of the system are reflected in the following:lacking of systematical and definite legal rules of taxation legislation jurisdiction;imperfection of tax distribution system, against the efficiency principle of taxationwhich unfits regional difference; legal invalidation in real estate industry; narrow taxbase against equity of tax burden; unreasonable tax structure which strangles theefficacy of legal system of revenue; unscientific basis of tax assessment which isunsuited to urbanization process; the repeat tax levy problem; fuzzy boundary of tax,fee and rent; communication disorders between tax law-enforcing departments;imperfection of supporting measures of tax collection and administration; defects inreal estate appraisal; deficiency of internal control system andsupervision mechanism of tax law enforcement; lacking of special taxinvestigative,complaint and judgmental departments which causes the great loss ofnational revenue. We should learn from those real estate markets in other countrieswhich are comparative mature. We should perfect the legal system of real estate inChina from the following aspects on the foundation of learning from others.Standardizing tax legislative power by establishing basic law of tax； decentralizingthe power of tax legislative based on conforming to laws; cancelingcity and town land use tax and tax on land occupation in land expropriation;canceling land value increment tax and city maintenance construction tax inreal estate transaction meanwhile combining deed tax with stamp tax; imposing death tax and tax on gifts in transfers of real estate; imposing uniform property tax in tenureof real estate.