On 30 december, the ministry of finance and the general tax administration issued a joint announcement that, as of 1 january next year, the value-added tax policy for the sale of our own houses will change, whether it is to sell a new house or to buy a second-hand room, which is directly linked to your wallet。
In a white-language version of the rule, two words: 3 per cent vat on the sale of a house for less than two years, more than 230,000 for a 5 million house, and now just $145 for a direct saving of nearly 100,000; if you sell it for two years, the vat will not pay a penny. It's important to remind you that it doesn't matter when you're staying when you're two years old, looking at a real estate certificate or tax note. In addition, those who had not claimed their taxes before january 2026 were able to follow the new rules, and those that had been paid could not be changed。
Why are we doing this now? This is mainly due to the high transaction cost of second-hand houses, especially in the case of short-term selling taxes, which are so painful that many people want to change their homes. To reduce the tax rate from 5 per cent to 3 per cent and to remain tax-free for two full years, it would be easier to “sell old and buy new” and less stressful, whether just to buy or improve。
Mr. Liu of beijing recently signed a second-hand room and paid tens of thousands less, calling it the “end-of-year gift bag”. In fact, he is not the only one who will be able to enjoy this benefit, either in the north or in other cities。
For us in general, this policy is inspired by the fact that if we want to change houses and not just stare at house prices, taxes and fees are a big expense. Moreover, the second-hand room was in circulation and had more options, with fewer trade frictions for both buyers and sellers, which would also benefit the city as a whole。
