China’s premier firm for advising on Deed Tax. We assist with China business, China incorporations, China investment, China merger acquisition service and your own China accountant, working for you.
Deed Tax
When real property such as buildings or land use rights are transferred, a deed tax is levied. Transfers include not only the sale of real property, but the gifting, exchange or contribution in lieu of monetary funds. This deed tax is to be paid by the acquiring party. The actual tax rate varies by location and ranges between 3% to 5% of the transaction value. If the transaction value is not stated in a contract, is not readily available or the value is understated, the market value for the transferred assets will used as the basis. The tax authority must be notified of the transfer within 10 days of a contract being finalized. If the deed tax is not paid, other government authorities may not recognize the transfer of property having occurred. In very limited situations, an exemption or reduction of the deed tax can be received.
！