1.        Taxpayers

The taxpayers of Urban and Township Land Use Tax include all enterprises, units, individual household businesses and other individuals who have land-use right (excluding enterprises with foreign investment, foreign enterprises and foreigners).

2.       Tax payable per unit

The tax payable per unit is differentiated with different ranges for different regions, i.e., the annual amount of tax payable per square meter is: 1.5-30 yuan for large cities, 1.2-2.4 yuan for medium-size cities, 0.9-18 yuan for small cities, or 0.6-12 yuan for mining districts. Upon approval, the tax payable per unit for poor area may be lowered or that for developed area may be raised to some extent. Tax in economically underdeveloped areas may be reduced appropriately, but the amount shall not exceed 30% of the stipulated minimum tax amount.

3.       Computation

The amount of tax payable is computed on the basis of the actual size of the land occupied by the taxpayers and by applying the specified applicable tax payable per unit. The formula is:

Tax payable = Size of land occupied x Tax payable per unit

4.       Main Preferential Policies

Main items for tax reductions and exemptions including:

(1)Land occupied by governmental organsations, people's organizations and military units for their own use;
(2)Land occupied by units for their own use which are financed by the institutional allocation of funds from financial departments of the State;
(3)Land occupied by religious temples, parks and historic scenic spots for their own use;
(4)Land for public use occupied by Municipal Administration, squares and green land;
(5)Land directly utilized for production in the fields of agriculture, forestry, animal husbandry and fishery industries;
(6)Land approved for reclamation and abandoned land for rehabilitation shall be exempted from land use tax for 5-10 years from the month of use;
(7)Land for self-use by non-profit medical institutions, disease control institutions, maternal and child health institutions and other health institutions;
(8)Land occupied by schools, hospitals and kindergartens owned by enterprises and distinguishable from other land used by enterprises clearly;
(9)Land owned by the taxpaying units but used by tax exemption units;
(10)Public green land outside the factory area and park land open to the public
(11)From October 1, 2018 to December 31, 2020, the enterprises that suspend business and close down in accordance with the related policy of government will be exempted from urban and township land use tax from the next month after the suspension.
(12)From January 1, 2019 to December 31, 2021, urban and township land use tax will be exempted for the self-use of national and provincial science and technology business incubators, university science and technology parks, and the national archival public innovation space, as well as the land provided to incubated objects for free or by rent.