Personal rental housing needs to pay business tax, property tax and personal income tax. Business tax includes urban maintenance and construction tax and education surcharge. Based on the VAT amount, the urban maintenance and construction tax shall be paid at the applicable tax rate. Based on the value-added tax, the education surcharge is paid at the applicable tax rate of 3%.

Legal objectivity:

Notice of State Taxation Administration of The People's Republic of China of the Ministry of Finance on Tax Policies Concerning Low-rent Housing, Affordable Housing and Housing Leasing Article 1 (1) Individual income tax shall be levied at the reduced rate of 10% on the income obtained by individuals renting housing. (2) Lease contracts signed by individuals for renting or renting houses shall be exempted from stamp duty. (3) For individual rental housing, the business tax will be halved on the basis of 3% tax rate, and the property tax will be levied at 4% tax rate, and the urban land use tax will be exempted. (4) Enterprises, institutions, social organizations and other organizations rent houses to individuals at market prices, and the property tax is levied at a reduced rate of 4%.