Law of the People's Republic of China on the Occupation Tax of Cultivated Land

(Effective from the date of the founding of the People's Republic of China)

Article 1 This Law is formulated in order to rationally utilize land resources, strengthen land management, and protect cultivated land.

Article 2 Units and individuals that occupy cultivated land to build buildings, structures, or engage in non-agricultural construction within the territory of the People's Republic of China shall be taxpayers of cultivated land occupation tax and shall pay cultivated land occupation tax in accordance with the provisions of this Law.

Occupied cultivated land for the construction of farmland water conservancy facilities shall not pay cultivated land occupation tax.

The cultivated land referred to in this Law refers to land used for growing crops.

Article 3 The cultivated land occupation tax shall be calculated based on the actual cultivated land area occupied by the taxpayer and shall be levied in one lump sum according to the applicable tax amount. The tax payable shall be the actual cultivated land area occupied by the taxpayer (square meters) multiplied by the applicable tax amount.

Article 4 The tax rates of cultivated land occupation tax are as follows:

(1) In areas where the per capita cultivated land does not exceed one mu (counties, autonomous counties, cities without districts, and urban districts, the same below), the tax rate is RMB 10 to RMB 50 per square meter;

(2) In areas where the per capita cultivated land exceeds one mu but does not exceed two mu, the tax rate is RMB 8 to RMB 40 per square meter;

(3) In areas where the per capita cultivated land exceeds two mu but does not exceed three mu, the tax rate is RMB 6 to RMB 30 per square meter;

(4) In areas where the per capita cultivated land exceeds three mu, the tax rate is RMB 5 to RMB 25 per square meter.

The applicable tax rates of cultivated land occupation tax in various regions shall be proposed by the people's governments of provinces, autonomous regions, and municipalities directly under the Central Government within the tax rate range prescribed in the preceding paragraph based on the per capita cultivated land area and economic development, and reported to the Standing Committee of the People's Congress at the same level for decision, and reported to the Standing Committee of the National People's Congress and the State Council for record. The average level of applicable tax rates for cultivated land occupation tax in each province, autonomous region and municipality directly under the Central Government shall not be lower than the average tax rates specified in the "Table of Average Tax Rates for Cultivated Land Occupation Tax in Each Province, Autonomous Region and Municipality Directly under the Central Government" attached to this Law.

Article 5 In areas where the per capita cultivated land is less than 0.5 mu, provinces, autonomous regions and municipalities directly under the Central Government may appropriately increase the applicable tax rates for cultivated land occupation tax according to the local economic development situation, but the increase shall not exceed 50% of the applicable tax rates determined in the second paragraph of Article 4 of this Law. The specific applicable tax rates shall be determined in accordance with the procedures prescribed in the second paragraph of Article 4 of this Law.

Article 6 For the occupation of basic farmland, the local applicable tax rates determined in the second paragraph of Article 4 or Article 5 of this Law shall be levied at an additional 150%.

Article 7 For the occupation of cultivated land by military facilities, schools, kindergartens, social welfare institutions and medical institutions, the cultivated land occupation tax shall be exempted.

For the occupation of cultivated land by railway lines, highway lines, airport runways, aprons, ports, waterways and water conservancy projects, the cultivated land occupation tax shall be reduced to 2 yuan per square meter.

Rural residents who occupy cultivated land within the prescribed land use standards and build new self-use houses shall be subject to a land occupation tax reduced by half according to the local applicable tax rate; if rural residents are approved to relocate, the part of the cultivated land occupied by the new self-use houses that does not exceed the original homestead area shall be exempted from the land occupation tax.

Rural martyrs' families, families of soldiers who died in the line of duty, disabled soldiers and rural residents who meet the rural minimum living security conditions shall be exempted from the land occupation tax when they build new self-use houses within the prescribed land use standards.

According to the needs of national economic and social development, the State Council may stipulate other circumstances for exemption or reduction of land occupation tax and report them to the Standing Committee of the National People's Congress for record.

Article 8 After the land occupation tax is exempted or reduced in accordance with the first and second paragraphs of Article 7 of this Law, if the taxpayer changes the original land use and no longer falls under the circumstances of exemption or reduction of land occupation tax, the land occupation tax shall be paid in arrears according to the local applicable tax rate.

Article 9 The land occupation tax shall be collected by the tax authorities.

Article 10 The tax liability of cultivated land occupation tax shall arise on the day when the taxpayer receives the written notice from the natural resources department on the formalities for occupying cultivated land. The taxpayer shall declare and pay the cultivated land occupation tax within 30 days from the date when the tax liability arises.

The natural resources department shall issue the construction land approval certificate on the basis of the cultivated land occupation tax payment certificate or tax exemption certificate and other relevant documents.

Article 11 Taxpayers who temporarily occupy cultivated land for construction projects or geological surveys shall pay cultivated land occupation tax in accordance with the provisions of this Law. If the taxpayer reclaims the cultivated land according to law and restores the planting conditions within one year from the date of expiration of the approval of temporary occupation of cultivated land, the cultivated land occupation tax paid shall be fully refunded.

Article 12 If gardens, forests, grasslands, farmland water utilization land, aquaculture water surface, fishery waters and tidal flats and other agricultural land are occupied to build buildings, structures or engage in non-agricultural construction, cultivated land occupation tax shall be paid in accordance with the provisions of this Law.

For the occupation of agricultural land specified in the preceding paragraph, the applicable tax amount may be appropriately lower than the applicable tax amount determined in accordance with the second paragraph of Article 4 of this Law in the region, but the reduction shall not exceed 50%. The specific applicable tax amount shall be proposed by the people's government of the province, autonomous region or municipality directly under the Central Government, reported to the Standing Committee of the People's Congress at the same level for decision, and reported to the Standing Committee of the National People's Congress and the State Council for record.

Occupying the agricultural land specified in the first paragraph of this article to build production facilities directly serving agricultural production shall not pay the farmland occupation tax.

Article 13 The tax authorities shall establish a tax information sharing mechanism and work coordination mechanism for farmland occupation tax with relevant departments. The natural resources, agriculture and rural areas, water conservancy and other relevant departments of the local people's government at or above the county level shall regularly provide the tax authorities with information on the conversion of agricultural land and temporary occupation of land, and assist the tax authorities in strengthening the collection and management of farmland occupation tax.

If the tax authorities find that the taxpayer's tax declaration data is abnormal or the taxpayer fails to declare and pay taxes within the prescribed time limit, they may request the relevant departments to conduct a review, and the relevant departments shall issue a review opinion to the tax authorities within 30 days from the date of receipt of the tax authorities' review application.

Article 14 The collection and management of farmland occupation tax shall be implemented in accordance with the provisions of this Law and the "Tax Collection and Management Law of the People's Republic of China".

Article 15 If taxpayers, tax authorities and their staff violate the provisions of this Law, they shall be held legally responsible in accordance with the provisions of the Tax Collection and Management Law of the People's Republic of China and relevant laws and regulations.

Article 16 This Law shall come into force on the date of the founding of the People's Republic of China.

附：

各省、自治区、直辖市耕地占用税平均税率表