The first understanding: the so-called withholding means withholding property tax when paying rent, just like withholding personal income tax when paying wages. At this time, the sum of the rent paid to the lessor plus the property tax withheld and remitted is the rent that is really attached to the lessee. "Taxable units and individuals use the real estate of other units free of charge and pay property tax according to the residual value of the real estate", and the property tax withheld and remitted is an integral part of the rent. Rent borne by the lessee = 0+ property tax withheld and remitted, that is, at this time, the lessee uses the lessor's property at the expense of the property tax payable by the lessor. Borrow: management fee-rental loan: taxes payable-withholding property tax. But at this time, it will cause the lessor's income confirmation and tax calculation cycle, which should be wrong. The second understanding: this understanding may be the legislative spirit of the tax bureau, because according to the interpretation of local taxes-the ultimate bearer of this rent is the lessor (because it is reduced). According to the accounting standards, while confirming the debt to the tax bureau, it is also necessary to confirm a creditor's right to the property owner (lessor). Borrow: other receivables-lessor-withholding property tax loan: taxes payable-withholding property tax (it is meaningful if the purpose of this provision is to "prevent the transfer of interests between related parties"). Then the lessor's handling of this project is: borrowing: management fee-property tax loan: other payables-lessee-property tax paid by the lessee. From the common sense analysis, there may be cases where related parties do not rent out their houses. However, by providing real estate to related parties for free, an enterprise reduces the expenses of related parties and artificially improves the profits of related parties (this is the problem of interest transfer). When the lessee uses the lessor's property without collecting rent, it is not allowed to deduct the withholding property tax, and at the same time, it is possible to tax the lessor engaged in the transfer of interests, which may have a blow to restraining the transfer of interests between related parties. (If the rent is ridiculously low, related parties need to be disclosed in the financial report, otherwise the punishment will be severe. To sum up, the lessee is not allowed to deduct before tax, but the party renting the assets can deduct it.