Just last week, Ren Zeping, president of Evergrande Economic Research Institute, and his team released "Macro Outlook of China: 202 1", which mentioned that it has become increasingly necessary to levy property tax in order to improve the real estate market in China. Therefore, it is necessary to implement the property tax, and I believe that the state will continue to implement the property tax.
In fact, as early as last year, many media and experts predicted that the property tax might be widely welcomed in 202 1. It is still more than half a month before the start of the new year. It is not known whether the property tax can be introduced, but the "tax" has been implemented, that is, the "landlord tax".
At the beginning of 20021,the Yunnan Provincial Taxation Bureau publicly issued the Announcement on Matters Related to the Collection and Management of Personal Income Tax on Personal Rental Houses, which stipulated that 10% tax should be levied on personal rental houses and 20% tax should be levied on non-residential houses rented by individuals. This new regulation is also from 202 1 to 1.
The introduction of this property tax has caused a lot of heated discussion, but in fact, this policy has been implemented in two places in China, namely Hebei Province and Hunan Province, and both of them have issued relevant documents for collecting property tax. It is possible that the landlord tax will "sweep" the country next. Some experts have analyzed that four types of people will be greatly affected by the landlord tax.
The first category is the landlord. For the majority of landlords, renting a house is originally for income, and some landlords use rent to repay their housing loans. The introduction of landlord tax is undoubtedly a blow to landlords, who must bear this part of the tax themselves, which means that their rental income will be reduced by a large part, and the model of "supporting loans by renting" may be broken.
According to the data in the Survey Report on Rent-to-Sale Ratio of 50 National Key Cities in 2020, in 2020, the average rent of 40 cities across the country decreased by 4.4% compared with the previous year. It is precisely because of the decline in the heat of the rental market that public rental housing has also dealt a great blow to landlords.
So the current situation is that there are more people renting houses and fewer people renting houses. It is difficult to rent a house if it is not particularly popular. Therefore, it is unrealistic for the landlord to "make up" the loss by raising the rent, and it is likely that the house will not be rented out. The longer the house is vacant, the greater the loss of the landlord. In this way, the landlord will suffer.
The second category is real estate speculators. There are fewer and fewer people buying houses now, and the "business" of real estate speculators is not as good as before. It is not easy to sell all the houses they hoarded. Although those houses are vacant, they have to pay property fees, and even many loans have to be repaid.
Therefore, many real estate speculators want to rent out their idle houses first when the capital turnover is not enough. Now that the landlord tax has been introduced, it is not easy for them to rent out, and every suite has to pay a lot of tax. They seem to lose more than other ordinary landlords.
The third category is tenants. In fact, landlord tax is a good thing for tenants. As mentioned above, although the landlord has to pay taxes, in this case, the landlord can't raise the price. On the contrary, he may lower the price in order to rent out the house as soon as possible. So the tenant is likely to be cheaper than the house rented before.
The last category is just the buyer. For those who just need to buy a house, the introduction of property tax seems to have no effect on them, but during this period, it is likely that a large number of real estate speculators will sell their houses at low prices to turn over funds. You know, many real estate speculators have very high-quality houses. At this time, they are likely to be able to "catch up". If you just need it, you usually pay more attention to the market, and it is possible to buy your favorite house at a low price.
Conclusion: As mentioned above, the property tax is likely to be implemented nationwide, but it has just been introduced and has aroused many people's opposition, so this policy may take a long time to run in. However, whether it is property tax or landlord tax, it is actually for the healthy development of the overall real estate market in China. In the long run, it will be good for each of us.
I wonder what you think of the landlord tax? Are you a tenant or a landlord? Are you against the landlord tax? Welcome to leave a message for discussion.