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Interview by 21st Century Business Herald
Interview by 21st Century Business Herald
October 22,2004
Interview by 21st Century Business Herald

Will Realty Tax be implemented in Shanghai for experiment in near future? For this question, Mr. Yan was interviewed by 21st Century Business Herald. Yan indicated that Realty Tax involves not only the interest of real estate merchants, but also the interest of every house owner. If the experiment wasn't be as successful as expected, it would bring many problems to local government. Additionally, the realty evaluating system is also something troublemaking. If the tax amount is to be decided by intermediate entities, because currently these entities in our country hasn't been well developed enough, the tax sovereignty will be eroded more or less. Who will decide the entity to evaluate certain realty, the administration or the taxpayer? A house will surely have different price from different evaluating entities. This factor will affect the tax to be paid. But if the intermediate entities are excluded from this issue, and the administration is assigned with this task, how much extra work will the administration do? That was why Mr. Yan thought that Realty Tax could never come into existence without resolving of the evaluation problem.

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