Microblog insights

Topic 1:

In the latest regulation following the State Council's meeting on Feb 20 about the urban residential housing market, the central government ordered that a 20 percent individual income tax be levied on capital gains by home sellers. Currently, only a 1 percent individual income tax is levied on the sale price, much lower than the 20 percent tax on the difference between the sale and purchase prices. Meanwhile, for cities that experience soaring property prices, the branch of the central bank could further lower payments and mortgage rates for second-home buyers, in line with the price target set by local government, the statement said.

Wenjiqiwu: Some of the new home projects in Beijing that I've seen sold for 25,000 yuan ($4,013) (a square meter) in December. Now they are selling for more than 32,000 yuan. In just two months! It's crazy!

Zhou Pidong: I fear the extra 20 percent individual income tax will be paid by the home buyers rather than the sellers.