According to Article 4 of the Detailed Rules of the Provisional Regulations on Deed Tax in People's Republic of China (PRC), the tax basis of deed tax (II): land use right gift and house gift shall be verified by the tax collection organ with reference to the market price of land use right sale and house sale. Therefore, the donee of the donated property needs to pay the deed tax in full.
In addition, the second paragraph of Article 1 of the Notice of State Taxation Administration of The People's Republic of China City, People's Republic of China (PRC) on Strengthening the Tax Administration of Personal Donation of Real Estate for Free [Guo Shui Fa (2006) 144] clearly stipulates: "Individuals who donate real estate for free shall collect the deed tax in full from the donee."
The deed tax on donated property is collected in full, that is, the donee pays it according to the proportion of 3%.