Is the property management fee taxable?

Owners do not need to pay additional taxes when paying property fees. Value-added tax belongs to turnover tax, which is characterized by deduction through layer-by-layer circulation. Consumers are the last buyers of goods or services, and the purpose of purchase is consumption. Therefore, after the transfer of value-added tax, the last consumer is the ultimate bearer of value-added tax, but the generated value-added tax has been included in the property fee and paid by the property company. Property companies provide property services, which belong to enterprise management services in modern service industry. General taxpayers apply the tax rate of 6% to calculate and pay VAT. The Ministry of Finance's Notice of State Taxation Administration of The People's Republic of China, People's Republic of China (PRC) on Comprehensively Promoting the Pilot Project of Changing Business Tax to Value-added Tax stipulates in the notes on sales services, intangible assets and real estate that the property management fees charged by property management companies belong to enterprise management services in auxiliary business services, and the collection rate of small-scale taxpayers is 3%.