Research On Income Tax Of Real Estate Investment Trust Funds

Real estate investment trusts(hereinafter referred to as "REITs")are an important form of real estate securitization.They were born in the United States in the 1960 s.Due to the pioneering practice and the accumulation of decades of experience,the United States REITs market is basically mature and represents International standardization.As of the first quarter of 2019,the total market value of US REITs reached 8.28 trillion yuan,fully reflecting its rapid development and large size.However,China currently does not have REITs in a complete sense.REITs are the localization products of REITs in China,and their number and scale have also shown rapid growth since their emergence in 2014.According to data,as of December 31,2019,the domestic market has cumulatively issued 68 REITs with a cumulative amount of 140.281 billion yuan.The academic community believes that the REITs may usher in a golden age.However,at the same time,due to China’s imperfect tax policies on REITs,there are problems such as excessive tax burden on establishment and repeated taxation on operation.This article takes Poly rental housing REITs as an example,and divides its product structure into a set-up period,a survival period,and an exit period.After analyzing these three stages of tax-related matters in detail,it is concluded that the double taxation is mainly concentrated on the project company’s survival period.The rental income is divided into dividends;by comparing the tax burden difference before and after the dividend tax exemption method is adopted,it is concluded that the tax exemption of dividends received by investors can indeed reduce its taxable value;referring to the experience of the international mature REITs market,it further proposes China’s It is recommended that the dividend tax exemption method be adopted for the rental income dividend,thereby eliminating the problem of double taxation of REITs in China and promoting its standardized development.