China Unveils More Steps To Boost Property Market
China announced on Wednesday fresh measures to support the ailing property market, including cuts in business and transaction taxes for real estate sales and policies to make it easier for developers to obtain credit.
The State Council, or cabinet, also said it would shorten to two years from five the lock-up period during which home owners are subject to a business tax if they resell their homes and that the tax would be levied on their capital gains, not the overall value of the sold property.
“We need to further encourage and support housing purchases, maintaining reasonable expansion in the property sector,” the State Council said in a statement on the central government’s website (https://www.gov.cn). The move by the cabinet consolidates a series of steps Beijing has taken in the past months to prop up the sector, including pledging to build more low-cost housing and an earlier cut in taxes on home purchases that focused on people buying their first home.