Interim Regulations on Urban Real Estate Tax
Interim Regulations on Urban Real Estate Tax
Interim Regulations on Urban Real Estate Tax
Order of the Central People's Government Administration Council [1951] No. 133
August 8, 1951
Article 1 Except as otherwise stipulated, Urban Real Estate Tax shall be collected by the tax authorities in accordance with the provisions of these Regulations.
Article 2 The Ministry of Finance of the Central People's Government shall designate the cities in which Real Estate Tax shall be imposed. The tax shall not be imposed in cities that have not been designated.
Article 3 The owner of property shall be liable for the payment of Real Estate Tax. Where the property is subject to a mortgage, the mortgagee shall be liable for payment. Where the owner and the mortgagee are not present at the locality in which the property is situated, where ownership of the property has not been established or where disputes in connection with tenancy and mortgage of the property have not been resolved, the tax shall be paid by the custodian or the user of the property on behalf of the owner or mortgagee.
Article 4 The following categories of real estate shall be exempted from Real Estate Tax:
(1) Real estate owned by military units, government agencies and social organizations for their own use.
(2) Real estate owned by public schools and registered private schools for their own use.
(3) Real estate used as a park, scenic spot or historic site or for other public purposes.
(4) Real estate used exclusively by mosques or lamaseries.
(5) Real estate used exclusively by temples or other religions for which tax exemption has been granted by the People's Government at the provincial (municipal) level or higher.
Article 5 Reductions of or exemptions from Real Estate Tax shall be granted in respect of the following categories of real estate:
(1) Newly constructed buildings shall be exempted from Real Estate Tax for a period of 3 years commencing the month in which the construction is completed.
(2) Renovated buildings for which the renovation expenses exceed one half of the expenses of the new construction of such buildings shall be exempted from Real Estate Tax for a period of 2 years commencing the month in which the renovation is completed.
(3) Other real estate in respect of which, due to special circumstances, the People's Government at the provincial (municipal) level or higher has determined that reductions of or exemptions from Real Estate Tax shall be granted.
Article 6 Real Estate Tax shall be assessed according to the following criterias and tax rates:
(1) The tax on buildings shall be assessed annually at the rate of 1% of the standard value of buildings.
(2) The tax on land shall be assessed annually at the rate of 1.5% of the standard value of land.
(3) The tax shall be temporarily assessed on annual basis at the rate of 1.5% of the consolidated standard value of land and buildings in cities in which it is difficult to determine separately the standard value of land and the standard value of buildings.
(4) The tax shall be temporarily assessed on annual basis at the rate of 15% of the standard rental value of real estate in cities in which it is difficult to determine the standard values of land and buildings.
Article 7 The standard values mentioned in the preceding Article shall be appraised as follows:
(1) The standard value of buildings shall be appraised in terms of different categories and grades according to the general local market value and with reference to the current price of local building construction.
(2) The standard value of land shall be appraised in terms of different districts and grades according to such conditions as the location of the land, the degree of prosperity of the locality and communication facilities and with reference to the general local market value of the land.
(3) The standard value of real estate shall be appraised according to the location of the real estate, its building construction circumstances and taking into account the local aggregate market value of real estate for different districts, categories and grades of real estate.
(4) The standard rental of real estate shall be appraised in terms of different districts, categories and grades and, in general, according to the local aggregate rental value of the land and its affixed buildings.
Article 8 The local tax authorities shall determine whether Real Estate Tax must be paid in quarterly or semi-annual installments.
Article 9 A Commission for real estate assessment, composed of representatives designated by local People's Conferences of various circles, and representatives designated by such departments as finance, taxation, land administration, civil engineering (construction), industry and commerce, and public security shall be established in all cities in which Real Estate Tax is imposed.
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