News Analysis Chinese authorities recently announced that they will roll out a pilot property tax plan in different parts of the country and likely implement property taxes nationwide in the future. This will undoubtedly be a major blow to China’s urban middle class that greatly affects their spending power. On Oct. 23, the Standing Committee of China’s rubber-stamp legislature announced that it authorized the State Council to carry out a five-year real estate tax reform trial plan in certain regions. Based on the trial results, the legislature may formulate a nationwide real estate tax law five years later. Pilot Cities Shanghai and Chongqing have already been trial cities for 10 years, paying a nominal tax. The new list of trial cities will be announced at the end of this year. Several media outlets have provided hints as to which cities will likely be on the list. According to a report …
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