Henan Provincial Taxation Bureau responded to "supporting private real estate enterprises in financing and self rescue" by collecting appeals and reflecting them upwards in terms of departments, support, taxation, value-added tax, real estate, policies, and taxation bureau
According to the official website of the Henan Provincial Taxation Bureau of the State Administration of Taxation, in response to the proposal to support private real estate enterprises in financing "self rescue", the bureau revealed that although tax departments at or below the provincial level do not have the power to formulate tax policies, we have organized investigations and research on the real estate industry, and will closely monitor policy implementation, collect policy demands from private enterprises, timely report to higher-level departments, and strive to introduce more tax and fee preferential policies to support the development of private real estate enterprises.
The Henan Provincial Taxation Bureau introduced that the special benefits that real estate enterprises can enjoy mainly involve value-added tax, corporate income tax, urban land use tax, land value-added tax, and other taxes. Low rent housing and affordable housing construction, shantytown renovation, and old residential area renovation are exempt from various administrative fees, government funds, and land transfer income. In addition to the special policies mentioned above, real estate enterprises can also enjoy inclusive tax and fee preferential policies in accordance with regulations. Next, the Provincial Taxation Bureau will fully leverage its tax functions, fully implement tax and fee preferential policies, continuously optimize tax and payment services, create a fair competitive business environment, and contribute tax power to support the development and growth of private real estate enterprises.
Pengpai News has noticed that recently, the Shangqiu City Taxation Bureau of the State Administration of Taxation also responded to the suggestion of the CPPCC members to fully relax restrictions on consumption in the real estate field, stating that in terms of tax reduction and exemption policies for transactions, according to the Notice of the State Council on Cleaning up and Regulating Tax and Other Preferential Policies, tax legislative power is centralized in the central government, formulated by relevant national departments, and local governments do not have the authority to formulate specific tax preferential policies. Although our city's tax department does not have the authority to formulate tax policies, it attaches great importance to this proposal. In February 2023, the Municipal Taxation Bureau conducted in-depth research on the current situation and existing problems of commercial housing transfer in our city, and proposed suggestions for implementing phased tax preferential policies for individual transfer of commercial housing. In terms of value-added tax, when an individual sells their acquired immovable property, the remaining balance of the total price and additional expenses that can be obtained after deducting the original purchase price or valuation of the immovable property is the sales amount, and the tax payable is calculated at a reduced rate of 3%; In terms of personal income tax and land value-added tax, it can be gradually halved on the basis of existing policies.
The Shangqiu Municipal Taxation Bureau stated that in the next step, the bureau will combine the preliminary research results to form a research report, which will be reflected to higher-level authorities through various channels, hoping that the country can introduce relevant tax preferential policies.
