Property Tax Can Solve Land Rights Issue

Ran Xuedong of China Times says let the property tax solve the land rights problem.

Sina: 房产税可解决70年产权”死结“

He notes a problem is property tax reform is on hold, for fear of causing a housing market crash:
Think of a few years ago wanted to scream real estate taxes now, Shanghai and Chongqing, with varying degrees of the pilot, but ultimately of little value, and the high level of the pilot study are basically on hold. The reason is mainly the real estate downturn in recent years, real estate downward pressure on economic growth is large, and the real estate tax levy, would be a devastating blow to the real estate market.
He runs a calculation showing how big the real estate bubble is in cities such as Beijing, without considering land rights or a property tax.
Simply an account balance, a Fourth Ring Road in Beijing almost 5 million house, if converted in accordance with the 70 years, the annual rental is about 70,000 yuan (simple calculation, if converted in accordance with the interest, the amount may be higher), and now fourth ring homes on 100 square meters of monthly rental is about 5,000 yuan, a year's rental is around 60,000, this simple rough calculation will show that the current real estate bubble have much, if 70 years later, the rights of the owners of the houses of zero, then the real estate market a devastating blow.
The property tax does solve the problem of government revenue though:
However, China's real estate market in the future to develop, real estate taxes and property rights issues for 70 years, are not open around the problem, to solve the real estate tax is a local financial revenue source of future problems, solve the problem of property rights for 70 years as a real estate more property of the products in question, or will lead to volatility in the real estate market.

Therefore, it might be 70 years of property rights and property taxes combined together to solve problems, so that a solution to the problem of local government revenue sources, but also solve the issue of property rights 70 years, as long as the owners of the tax year in accordance with tax policy, it can be enjoyed freehold, which hedge the 1970s this property is getting closer to the real estate market time bomb.
Rolling out a property registration system isn't easy, but this is a no brainer policy. It secures property rights and it raises revenue for the government. It is a win, win, win for everyone, with the downside of taxes falling on homeowners instead of developers buying land. The government can't even roll this reform out, however, afraid it may damage the real estate market. How aggressively with they pursue overproduction?

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