Hebei Provincial Taxation Bureau has standardized and improved how to pay personal income tax for individual rental housing in Hebei Province. Personal rental housing can not provide the cost, according to the rental income of 5%- 10% income tax.

The Announcement on Matters Related to the Collection and Management of Personal Income Tax on Personal Rental Housing issued on September 4th contains two contents, which clarify the relevant matters about the confirmation of taxable income of personal rental (sublease) housing and one-time rental.

According to the new regulations, first, if an individual rents (sublets) a house and cannot provide legal and accurate proof of the cost and expenses, and cannot accurately calculate the cost and expenses of the rented house, the taxable income shall be verified within the range of 5%- 10% of the rental income. The specific application ratio shall be determined by the municipal tax authorities. The municipal tax authorities refer to all districts and cities (including Dingzhou and xinji city) and xiong'an new area Taxation Bureau.

Second, the rental income of rented (sublet) housing obtained by individuals in the form of one-time rent collection can be shared equally on a monthly basis within the corresponding lease term by virtue of a legal and effective lease contract (agreement).

In principle, individuals need to pay more taxes, including value-added tax, property tax, personal income tax and urban maintenance and construction tax. However, different provinces and cities will simply levy private rental tax on individual rental housing at a lower comprehensive tax rate.

Regarding the background of this policy, Hebei Provincial Taxation Bureau explained that in order to further standardize the collection and management of individual income tax on individual rental housing, in accordance with the general requirements of State Taxation Administration of The People's Republic of China on in-depth implementation of "tax reduction and fee reduction", the housing rental market in Hebei Province will be promoted to develop healthily and create a good business environment.

The new regulations will take effect from 20 19 10 1.

Insiders pointed out that personal rental housing should be taxed from the legal point of view, but in the current market, the tax payment ratio is very low, less than 1% of the national market. In this case, guiding tax payment should be a long-term process.