An average 80 square meter apartment within Shanghai’s Inner Ring Road goes for upwards $886,000; while in the city’s hinterlands it sells for around US$200,000. In Beijing, the average cost of a home of this size is roughly US$310,000.

Economic development and rapid urbanization have spurred massive internal migration, largely from the countryside to towns and cities, by individuals in search of jobs and higher wages. Official statistics place the number of internal migrants in China at over one-tenth of China’s 1.3 billion people.

China Immigration – Eligibility Criteria for Permanent Residency

1. He or she should have been married to a Chinese citizen or an immigrant with permanent residency for at least 5 years.
2. He or she should have made a direct investment in certain sectors of the Chinese economy for a minimum of 3 consecutive years.

Estimations are that Chinese cities will face an influx of another 243 million migrants by 2025, taking the urban population up to nearly 1 billion people. This population of migrants would represent “almost 40 percent of the total urban population,” a number which is almost three times the current level.

The mass emigration, which occurred from the 19th century to 1949, was mainly caused by corruption, starvation, and war in mainland China, and economic opportunities abroad such as the California gold rush in 1849.

A foreigner can only own one property in China, and that property must be residential. There are additional requirements by province and city. For example, in Beijing, you must pay taxes and social security for at least five years before you are permitted to buy a property.

These include Cyprus, Hungary, Portugal, Ireland, Malaysia, Bahamas and the UAE. In October 2012, the Portuguese government passed a law to offer ‘Golden Passport’ to attract investments. Under this, the country will give you resident status if you buy a property worth Euro 500,000 (Rs 3.65 crore) or more there.

With a series of fresh cooling measures announced since late March, Hainan has effectively restricted non-residents from buying homes in a property market that has been highly dependent on tourism and foreign buyers. Other measures include forbidding home owners to sell properties within five years of purchase.

BEIJING (Reuters) – China omitted mention of a property tax in its 2021 legislative plan on Monday for a second consecutive year as the government focuses on boosting consumption to cement an economic rebound from the COVID-19 pandemic amid lingering uncertainty.

The Individual Income Tax in China (commonly abbreviated IIT) is administered on a progressive tax system with tax rates from 3 percent to 45 percent. As of 2019, China taxes individuals who reside in the country for more than 183 days on worldwide earned income.

The answer is yes, foreigners are allowed to purchase property in China! The essential requirement is that you have studied or worked in China for at least one year on a residence permit. Foreigners are allowed to only own one residential property for dwelling purposes.

Sales Tax Rate in China is expected to reach 13.00 percent by the end of 2021, according to Trading Economics global macro models and analysts expectations. In the long-term, the China Sales Tax Rate – VAT is projected to trend around 13.00 percent in 2022, according to our econometric models.

Individuals working in China – both Chinese and foreign – are required to pay individual income tax (IIT) on their earnings. China revised its IIT law in 2019, introducing a number of changes to ease the tax burden for low- and mid-income earners while taking a tougher stance on high-earners and foreign workers.

Foreigners who fall into this bracket are required by law to pay tax on their worldwide income after the 183rd day of their sixth year in China. During this time, if a foreign worker leaves China for 31 consecutive days, they ‘reset the clock’ so to speak, and the 5-year exemption begins again upon their return.

Taxes provide the most important revenue source for the Government of the People’s Republic of China. Tax is a key component of macro-economic policy, and greatly affects China’s economic and social development. The government agency in charge of tax policy is the Ministry of Finance.

The U.S. depends heavily on China for providing the low-cost goods that enable income-constrained American consumers to make ends meet. The U.S. also depends on China to support its own exports; next to Mexico and Canada, China is America’s third largest and by far its most rapidly growing major export market.