Police registration tax?
- Joined: Apr 24th, 2008
- Posts: 43
A friend of mine rented a new apartment and went together with the landlord to the police station to get registered.
They charged him 5 % (4, 5% + .5%) tax on the rent and he needed to pay otherwise they wouldn’t register him.
Is this a new rule and if yes who would normally pay for this. The landlord or the tenant?
elrey
Re: Police registration tax?
The landlord should pay for it, of course he will add it to the total rent i guess, so it doesn't really matter who pays. But it is kind of awkward that your friend had it to pay at the police station right away. When i went with my landlord there were no exchange of money...
rbourne
Re: Police registration tax?
yes there is a 5% tax on rent, supposedly every month on rent for foreigners. Conveniently most landlords dont collect it and most foreigners say they are living with a chinese roommate which solves most problems. If you are not paying for your rent, IE your a big shot and your company pays then this law is for you. The gov wants more of your money.
coeurdelion
Re: Police registration tax?
This tax is definitely to be borne by the landlord - it's a tax on rental income. Most landlords won't register their apartment as proper rental business and claim they use it for themselves. However, they can only provide a rental fapiao if they admit they're renting it out and pay the 5% on the generated income. Nothing to do with the gov'ment wanting more money from foreigners!
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beerfest45
Re: Police registration tax?
Agree 100% - this should be borne by the landlord.
Beijing Rob wrote:
Nidaye
Re: Police registration tax?
This is the tax on rental income and it's the landlord's obligation to pay it, but in practical terms it just gets passed onto the tenant.
The tax isn't new - what's new is that the PSB is hooked into the tax bureau's system and can collect the tax on their behalf.
It's not a "foreigner" tax - it's just easier to collect from landlords renting to foreigners as they need to register with the PSB.