중국 지방정부의 재산관련 지방세 제도 고찰과 개선방안

This study aims at suggesting the improvement measures of property related local taxes in Chinese local governments. Since China introduced the current system of taxation known a tax sharing system, the local governments have been facing revenue shortages. As a result, many local governments have experienced fiscal stress and incurred large local debt in recent years because numerous unfunded central mandates and the large fiscal gap between expenditure responsibilities and revenues capacity. In spite of fiscal stress in local governments, China’s local governments have not been granted any legal authority for taxing or borrowing and the property tax plays a very limited role in the local public finance structure. Many local governments turn to off-budgetary revenue sources, fees for leasing land use rights. We study examines the current property related local taxes in order to the fiscal stresses that local governments are facing. This study suggests three measures. First, the current property tax structure focuses more tax burden at the possession stage than the transaction stage. Second, the local governments should develop an advanced assessed value system of the property related taxations objects. Last, the relations between local tax and a price for local public goods must be strengthened.