Policy Issues concerning the Charges for Real Estate Registration

 2018-03-09  1595


Circular on Policy Issues concerning the Charges for Real Estate Registration

  Cai Shui [2016] No. 79

  July 12, 2016

  The Ministry of Land and Resources, the finance departments (bureaus), development and reform commissions, price bureaus and departments (bureaus) of land and resources of all provinces, autonomous regions, municipalities directly under the Central Government, and cities specifically designated in the state plan; the Finance Bureau, Development and Reform Commission, and Bureau of Land and Resources of the Xinjiang Production and Construction Corps,

  In order to regulate the administration of the charges for real estate registration, and protect the legitimate rights and interests of real estate owners, pursuant to the Property Law, the Interim Regulations on the Registration of Real Estate, and other relevant regulations, some policy issues concerning the charges for real estate registration are hereby notified as follows:

  I. The real estate registration fees shall be collected by the Ministry of Land and Resources (the "MLR") and local real estate registration agencies (the "Registration Agencies") at the county level or above for initial registration, re-registration, transfer of registration, rectification of initial registration, and dissidence registration of the following real estate rights:
  1. ownership of buildings and structures (e.g. housing properties), and rights to use land for construction, rights to use homestead, or rights to use sea areas;
  2. rights to use construction land or homestead without buildings or structures;
  3. ownership of forests and woods, and rights to operate contracted forestland or rights to use state-owned forestland;
  4. rights to operate contracted land such as farmlands, grasslands, water areas, and shoals;
  5. easements; and
  6. mortgage rights.
  In the registration of the above-listed real estate rights, the MLR shall handle the registration of the forests, woods, and forestland in key state-owned forest areas designated by the State Council, and the state-owned land and buildings and structures on it used by state organs and collect registration fees incurred therefrom; the Registration Agencies at the county level or above shall handle the registration of other real estate rights and collect registration fees incurred therefrom.
  No registration fees shall be collected for the registration of other real estate rights or for the rectification of initial registration due to the fault of the Registration Agencies.

  II. Real estate registration fees shall be paid by the applicants for real estate registration. If real estate registration is jointly applied for by the parties concerned, the registration fee shall be paid by the party that is registered as the real estate owner; if real estate is co-owned (used) by several owners, the registration fee shall be paid by the co-owners (users), and the proportion shall be determined by the co-owners (users) through negotiation; the registration fees for real estate mortgage rights shall be paid by the party that is registered as the mortgagee.

  III. Real estate registration fees shall be collected at a fixed rate on a piece-by-piece basis. A piece shall be an application filed by an applicant for the registration of a specific real estate right as listed in Paragraph I above upon registration being handled.
  An application filed by an applicant for mortgage right registration that involves more than one collateral item on the same land parcel for a loan shall be deemed a piece.

  IV. The real estate registration fees shall include the document charges for ONE real estate ownership certificate. For more real estate ownership certificates issued by the Registration Agencies according to the law, extra document charges may be collected for the second copy.
  For real estate registration certificates issued by Registration Agencies according to the law, no charge shall be collected.

  V. Reduction and Exemption of Real Estate Registration Fees
  1. The real estate registration fee is exempted under any of the following circumstances:
  (1) application for the registration of operation rights for contracted farmlands acquired in the form of a family contract or in other forms by members of rural collective economic organizations;
  (2) application for registration of ownership of forests and woods and operation rights for contracted forestland acquired in the form of a family contract or in other forms by members of rural collective economic organizations;
  (3) application for the registration of operation rights for contracted land or rights to use state-owned farmlands by rural collective economic organizations for the purpose of agricultural production such as planting, forestry, animal husbandry, and fishery;
  (4) application for the re-registration of land and housing ownership due to the reform of the rural collective ownership system;
  (5) application for the registration of garages, parking spaces, or storerooms attached to houses, for which separate real estate ownership certificates or registration certificates are not issued;
  (6) application for the re-registration of the name of the street where the real estate is located, and the house number or house name due to the adjustment to administrative divisions;
  (7) application for the real estate registration by micro- and small-sized enterprises (including individual businesses); or
  (8) other circumstances under which the registration fee shall be exempted according to relevant state laws and regulations.
  2. The real estate ownership certificate charge is only imposed under any of the following circumstances:
  (1) application for the registration of homestead use rights;
  (2) application for the registration of homestead use rights and ownership of houses on a homestead;
  (3) application for the re-registration of ownership due to change of ownership of couple-owned real estate; or
  (4) application for the reissue of lost or damaged real estate ownership certificates.
  3. Real estate registration fees are reduced by half under any of the following circumstances:
  (1) application for the registration of indemnificatory housing ownership such as affordable housing and land for construction;
  (2) application for the re-registration of the name or title of real estate owners;
  (3) application for the real estate re-registration due to division or merger, etc.;
  (4) application for the rectification of initial registration and dissidence registration of the real estate; or
  (5) other circumstances under which registration fees shall be reduced by half according to relevant state laws and regulations.

  VI. Real estate ownership or registration certificates may not be issued for applicants failing to pay the registration fee as required.

  VII. All real estate ownership certificates and registration certificates issued according to the law before Registration Agencies and their duties are consolidated and the unified registration system is adopted for the issue of new certificates shall remain valid. The Registration Agencies shall issue new certificates only if the registered rights are changed, and shall not force real estate owners to renew their real estate ownership and registration certificates. Old real estate ownership and registration certificates shall be gradually replaced by new ones when re-registration of real estate rights or transfer of registration is handled according to the law.
  For real estate owners that voluntarily apply for a new real estate ownership/registration certificate without any change of the registered rights, and thus re-registration is unnecessary, the Registration Agencies shall not collect relevant charges from the relevant real estate owners.

  VIII. The specific rates of real estate registration fees shall be determined by the National Development and Reform Commission and the Ministry of Finance.

  IX. Upon the registration fees being collected by the Registration Agencies as provided for herein, the original land registration fees, housing registration fees, forest ownership certificate charge and other charges related to real estate registration, query, reproduction, and certification by relevant departments shall be canceled.
  In the regions where Registration Agencies and their duties are not yet consolidated and the unified registration system is not yet adopted for the issue of new certificates during the transitional period, relevant real estate registration charges may be collected according to the original regulations.

  X. The Registration Agencies shall use uniform receipts printed by the Ministry of Finance or provincial-level financial departments depending on their relationships of subordination.

  XI. All real estate registration fees collected by the MLR shall be paid into the national treasury under the Central Government and incorporated into the financial and budget management system of the Central Government. The specific collection and payment measures shall be imposed in accordance with the relevant regulations on revenue centralized collection and payment of the National Treasury. All real estate registration fees collected by the Registration Agencies at the county level or above shall be paid into local treasuries and incorporated into the financial and budget management system of local governments. The specific collection and payment measures shall be imposed in accordance with the relevant regulations of the provincial-level financial departments. The operating expenses for real estate registration required by the Registration Agencies shall be allocated from the financial budgets of local governments at corresponding levels.

  XII. The Registration Agencies shall strictly observe the above regulations, and shall not arbitrarily increase charged service items, expand the scope of charged services and charge higher rates, and shall voluntarily subject themselves to the supervision and inspection of the finance, price administration, and auditing departments. Those who collect extra fees, or reduce, exempt, or postpone the collection of fees in violation of the relevant regulations shall be investigated for legal liability in accordance with the Regulations on Penalties and Sanctions for Illegal Fiscal Acts, the Interim Regulations on Administrative Sanctions for Violation of the Provisions on the Two-way Management of Receipts and Disbursements of Administrative Charges, Fines and Confiscation Income, and other relevant national regulations.

  XIII. This Circular shall take effect from the date of promulgation, and all previous regulations that do not conform hereto shall be annulled simultaneously.