legal ground
According to Article 1 of the Deed Tax Law which came into effect in September, 2002 1,1.
Units and individuals that transfer the ownership of land and houses within the territory of People's Republic of China (PRC) and bear the deed tax shall pay the deed tax in accordance with the provisions of this Law.
Article 3 of deed tax law
The deed tax rate is 3% to 5%.
Article 4 of deed tax law
Tax basis for deed tax:
(a) the transfer and sale of land use rights, the sale of houses, the transaction price determined for the transfer contract of land and house ownership, including the price corresponding to the currency and physical objects to be delivered and other economic benefits;
(two) land use rights exchange, housing exchange, the difference between the exchange of land use rights and housing prices;
(3) Free transfer of land and house ownership such as land use right donation and house donation is the price legally approved by the tax authorities with reference to the market price of land use right sale and house sale.