The Impacts of Luxury Tax on Prices and Trading Volume of Houses in Taichung

• Main Authors: Yu-Chung Chen, 陳育崇
• Other Authors: Li-Wei Wu
• Format: Others
• Language: zh-TW
• Published: 2013
• Online Access: http://ndltd.ncl.edu.tw/handle/00723826163516608461

碩士 === 東海大學 === 高階經營管理碩士在職專班 === 101 === The purpose of this study is to examine the impacts of luxury tax on prices and transaction volumes of houses in Taichung according to the sources (2010-2012) of real estate price website Construction and Planning Agency, Ministry of the Interior. The data of contract unit price and transaction numbers provided by the Joint Credit Information Center (JCIC) was analyzed. Quarterly housing prices, trading volumes and the relevant information in seven regions of Taichung, were also used to study the influences of before and after the implementation of luxury tax and to identify whether the inhibition of rates of real estate can be obtained. The results show that it was a dramatic drop in market trading volumes in Taichung after the implementation of the luxury tax. The annual trading numbers of houses were reduced from 2010 to 2012. It decreased 21.5%. The price of existing homes had not been inhibited, but risen 12.2%. Imposition of a luxury tax can indeed slow down the speed and pressure of rising house prices and reduced the crisis of expected housing bubble. However, its effectiveness is only a short-term and a non-comprehensive proposal for the curb of irrational chasing high price of houses. Substantive structural problems cannot be solved through imposition of luxury tax. Recommend that the government should do a good job of relevant supplementary measures to reduce the side-effects after the implementation of the policy and new grievances, and to measure the impact on the future development of the housing markets.