Located in China's Sichuan Province, Wushan is a beautiful tourist destination. Many people buy self-occupied commercial houses here to enjoy the beautiful landscape and livable environment. But in the process of buying a house, there are some taxes involved. So, what taxes do you have to pay to buy a self-occupied commercial house in Wushan?How much tax do you pay?Next, we will go into more detail.
The first tax to be paid is the deed tax. According to Chinese national regulations, the purchase of commercial housing needs to pay deed tax, and the tax rate of deed tax is determined according to the transaction of the house** and the living area. In Wushan, the deed tax is generally calculated at a rate of 1%, which is 1% of the total purchase price.
The second item is VAT. According to the national policy, the purchase of ordinary residential buildings can be subject to VAT by applying the differential levy method. The VAT rate in Wushan is 5%. VAT is calculated on the basis of the price difference, which is the difference between the transaction price and the pre-sale price at the time of purchase. However, it should be noted that if you buy a second-hand house, you do not need to pay VAT.
The third item is personal income tax. If the property you buy in Wushan is not your first home or first owner-occupied home, then there may be personal income tax involved when selling the property in the future. According to the regulations of the Chinese tax authorities, the difference in the price of the sale of real estate is more than 200,000 yuan, which is subject to 20% individual income tax. However, if you hold the property for five years before selling, you can be exempt from personal income tax.
In addition, it is also important to note that there are some other miscellaneous fees that you need to pay when buying a property in Wushan, such as the purchase contract.
Certificate fees, real estate registration fees, house purchase and transfer fees, etc. These fees will vary depending on the specific requirements of the Wushan area, but are usually between 1-2% of the room price.
On the whole, the main taxes and fees that need to be paid to buy owner-occupied commercial housing in Wushan include deed tax, value-added tax and personal income tax. The deed tax is calculated at 1% of the housing transaction**, and the VAT is levied on the difference, and the tax rate is 5%. Personal income tax is calculated based on the price difference when selling the property, and it can be exempted from personal income tax if the property is held for five years before selling. In addition, there are other miscellaneous charges to be paid. Buyers should understand the relevant tax policies in advance before buying a house, so as to fully understand and reasonably plan the economic budget.
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