Real estate tax is short to be launched

This year’s government work report mentioned that there is less content in real estate. It mentions that the real estate tax legislation should be steadily promoted. The news has caused the mainland property stocks to generally pull back on Friday. However, some analysts believe that there are many obstacles to the implementation of real estate tax, and the market may be excessive. Concerned about the impact, China property stocks have shown signs of stabilization in recent days.

The need to introduce real estate tax in the Mainland has helped to broaden the sources of taxation of local governments, become another means of regulating the real estate market, and regulate social income distribution. However, the introduction of real estate tax has certain difficulties, such as who should be levied, what valuation should be levied, etc., and in recent years, the downward pressure on the economy, whether it is appropriate to introduce real estate tax, once the event is against property prices or even society Bringing too much impact will be a general direction against the steady advancement.

The analysis believes that the real estate tax is still in the preparatory stage before the legislation. I believe that it will be difficult to launch in the short term. Even if the initial stage of the launch, it will only adopt the pilot levy and try to exclude most of the revenue. The tax is expected to be only about 200 billion yuan. Citi believes that there has been no major change in the progress of the real estate tax agenda at the two sessions this year. The market is overly worried and is expected to be officially introduced after 2023. The actual tax rate may not be as high as expected, but it may be tested in more cities.