Department of Finance (Bureau), local Taxation Bureau, Department of Housing and Urban-Rural Development (Construction Commission, Housing and Land Bureau), State Taxation Bureau of Tibet, Ningxia and Qinghai Provinces (autonomous regions), Finance Bureau and Construction Bureau of Xinjiang Production and Construction Corps:

 

 

According to the relevant deployment of The State Council, the following notices are hereby issued on the adjustment of preferential policies for deed tax and business tax in real estate transactions:

 

 

First, the deed tax policy

(1) For individuals to purchase the only house of the family (family members include the buyer, spouse and minor children, the same below), the area of 90 square meters or less, at a reduced tax rate of 1%; If the area is more than 90 square meters, the deed tax shall be levied at a reduced rate of 1.5%.

 

 

(2) For individuals to purchase a second set of family improvement housing, the area is 90 square meters or less, the deed tax is levied at a reduced tax rate of 1%; If the area is more than 90 square meters, the deed tax shall be levied at a reduced rate of 2%.

 

The family second set of improvement housing refers to the family that already owns a house and buys a family second set of housing.

 

(3) Taxpayers applying for tax incentives, according to the taxpayer's application or authorization, the real estate authorities in the place where the purchase is made to issue written inquiry results of the taxpayer's family housing situation, and the inquiry results and relevant housing information to the tax authorities in a timely manner. For those who do not have the query conditions and cannot provide the query results of family housing, the taxpayer shall submit to the tax authorities a written guarantee of good faith that there are actually several sets of family housing. If the guarantee of good faith is not true, it is a false tax declaration, which shall be dealt with in accordance with the relevant provisions of the Law of the People's Republic of China on the Administration of Tax Collection, and the record of bad faith shall be incorporated into the personal credit information system.

 

 

In accordance with the principle of convenience and efficiency, the competent real estate department shall issue the written inquiry result of the taxpayer's family housing situation in a timely manner, and the tax authority shall complete the application for tax incentives submitted by the taxpayer within a limited time.

 

 

(4) Specific operational measures shall be jointly formulated by the competent departments of finance, taxation and real estate of all provinces, autonomous regions and municipalities directly under the Central Government.

 

 

2. Business tax policy

 

 

If an individual sells a house purchased less than 2 years ago, business tax shall be levied in full; Individuals will purchase more than 2 years (including 2 years) of housing sales, exempt from business tax.

 

 

Specific procedures for tax exemption, time for house purchase, invoicing, non-purchase forms of housing acquisition and other relevant tax administration regulations, In accordance with the Notice of The General Office of the State Council forwarding the opinions of the Ministry of Construction and other departments on doing a good job in stabilizing housing prices (State Administration of Taxation (2005) No. 26) and the Ministry of Finance of the State Administration of Taxation The relevant provisions of the Notice of the Ministry of Construction on Strengthening the Administration of Real Estate Tax (GuOFA [2005] No. 89) and the Notice of the State Administration of Taxation on Several Specific Issues in the Implementation of Real Estate Tax Policy (GuOFA [2005] No. 172) are implemented.

 

 

3. Scope of implementation

 

 

Beijing, Shanghai, Guangzhou and Shenzhen temporarily do not implement the second deed tax preferential policy and the second business tax preferential policy of Article 1 of this Notice, and the above urban personal housing transfer business tax policy is still implemented in accordance with the Notice of the State Administration of Taxation of the Ministry of Finance on Adjusting the Personal Housing Transfer Business Tax Policy (Finance and Taxation (2015) No. 39).

 

 

All provisions of this notice shall apply to areas other than the above-mentioned cities.

 

 

This notice shall take effect as of February 22, 2016.