No tax on real estate for the time being

China will not expand its pilot program for a real estate tax this year. This was reported by Xinhua, citing a source in the Ministry of Finance. Current economic conditions would make it difficult to expand the program. The real estate market is currently under pressure, with property prices currently falling slightly. Major developers such as Evergrande are heavily indebted. In addition, the new Covid wave is clouding the growth outlook for the overall economy. A tax would put additional pressure on local real estate markets and increase liquidity pressure on developers, Caixin reports.