A Study in the Effect of Land Value Increment Tax Rate on the Land Transfer

• Main Authors: Yinh Hsueh Chien, 簡瑩雪
• Other Authors: 吳彩珠
• Format: Others
• Language: zh-TW
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/24389963570103150158

碩士 === 長榮大學 === 土地管理與開發研究所 === 95 === It was in 1977 that three classes for Land Value Increment Tax rate were designed as 40%、50% and 60% respectively. Until 2002, the policy titled “Land Value Increment Tax Cut in half for three years” was enforced. The tax rate was revised permanently as 20%、30%、40% respectively in 2005. The change as well as influence of the policy not only brings the dispute for the tax fare, but also causes the argument about the effect of the Land Value Increment Tax Cut that could boost the real estate market actively. Based on exploring the authentic load of the Land Value Increment Tax for the land transfer, this study hope that for five areas the historic annual data, both authentic load of Land Value Increment Tax and land transfer, are analyzed to get the relationship between them, and to differentiate the effect of the policy, further which can be provided as the reference of the government. Historic annual data from source of Land Value Increment Tax was collected to form the time sequence statistics. It is the finding in this study that the contribution of both self-use residential land and regular land to the Land Value Increment Tax gradually decreases year by year, and that the exemption land grows substantially and almost occupies 60% of the total land transfer. In addition, the execution of the policy named “Land Value Increment Tax Cut in half” mainly influence the long-term land owners. The effective tax rate for Land Value Increment Tax stands stably between class 1 and class 2 both before and after the policy. However, for the duration of policy execution, land transfer plots、gross amount of land value increment and tax payable substantially increase. It is a result that the policy execution really has stimulation effect. Granger causality test between land transfer and land value increment tax for five areas is performed. There is no causality for both Taiwan province and Taipei county. For Taipei city, land transfer advances Land Value increment Tax, and an unidirectional causality exists. However, Land Value Increment Tax advances land transfer for Kaohsiung city, and an unidirectional causality exists. For Taichun City, land transfer and Land Value increment Tax are causal mutually, and a bi-directional relation exists. In addition, both impulse response analysis for VAR model and variance decomposition are also executed, and the result shows that the effect of the Land Value Increment Tax to land transfer is relatively higher in Taipei city、Taichun City and Kaohsiung city . The effect of the policy is less short-run in Kaohsiung city、astaticism in Taipei city、and more long-run and positive relationship in Taichun City.