Abstract：Reform of current real estate taxation and introduction of property tax is one of the important issues of taxation system reform in China.Nowadays,there exist many problems in current real estate taxation system,such as complicated fees and taxes,substitution tax with fee,emphasis more on property circulation phase rather than property holding phase etc,which is the primary reason for the fiscal difficulties faced by local government.The aim of property taxation reform is to maximize the real estate taxation structure,improve the tax volume in the phase of property withholding.In the long run,property tax should be fostered as main tax for local government revenue.On the basis of the reform objective of property tax reform,the paper proposes the fundamental framework of institutional arrangement of property taxation.
