Anbound's research team is of the view that the 'new normal’ in China’s economy will accelerate the path towards the legislation of property tax law and the imposition of property tax.

The main reasons are as follow: -

Firstly, the fiscal pressure remains intense on all levels of government and this will cause the change in the direction of fiscal and taxation reform.

Secondly, the increased fiscal pressure and the change in land related revenue has caused the local governments to shift their focus from the development of the city to the management of the asset.

Thirdly, the imposition of property tax will help enforce anti-corruption efforts as it gives the government a clear view on its people’s immovable assets.