Key figures
- An inheritance tax was announced in the 1994 tax reform and never legislated. The 18 taxes in force at the end of 2013 include no inheritance or gift tax (State Taxation Administration).
- A statutory heir who inherits a home pays no deed tax (Deed Tax Law, art. 6(5)) and no income tax (财税〔2009〕78号, art. 1(3)).
- A testamentary heir or legatee who is not a statutory heir pays no income tax, but the deed tax exemption is written for statutory heirs only.
- A gift of a home is a taxable transfer for the deed tax, at the provincial rate between 3% and 5% on the market price set by the tax office; a change of title between spouses during marriage is exempt.
- A gift to a spouse, parent, child, grandparent, grandchild or sibling, or to the person who supports the owner, bears no income tax.
- A gift to anyone else is taxed at 20% as occasional income, on the value less the taxes the recipient paid on the gift (2019 announcement No. 74).
China: the cost of passing a home
Deed tax and income tax, by how the home passes and who receives it.
Points to note
- The tax office sets the value; the calculator uses the value you enter.
- Provinces set the deed tax rate between 3% and 5% and may set different rates for housing.
- Taxes on a later sale of the home are not included.
Nothing you enter is stored, sent or logged. The whole calculation runs in your browser.
No inheritance tax
The 1994 tax reform listed an inheritance tax among the taxes to introduce. It was never legislated and never collected, and the State Taxation Administration's own account of the 18 taxes in force at the end of 2013 includes neither an inheritance nor a gift tax. No such law has been found on the sites of the National People's Congress, the Ministry of Finance or the State Taxation Administration.
Who inherits: the Civil Code
Book VI of the Civil Code, in force since 1 January 2021, sets two orders of statutory heirs. The first is the spouse, the children and the parents; the second, the brothers and sisters and the grandparents. The second order inherits only when there is no heir in the first (art. 1127). Heirs of the same order take equal shares, subject to adjustments for need, care given or care refused (art. 1130).
A will may be handwritten, written by another person before two witnesses, printed and signed on every page before two witnesses, recorded on audio or video before two witnesses, made orally in an emergency, or made before a notary (arts. 1134 to 1139).
Inheriting a home
A statutory heir who takes a home by inheritance is exempt from deed tax, and no income tax is due on the inheritance. A person who inherits under a will without being a statutory heir, or a legatee, is also free of income tax, but the deed tax exemption does not cover them: the calculator applies the provincial rate.
Giving a home
A gift is a transfer of title for the deed tax, taxed on the market price assessed by the tax office at the provincial rate. A change of title between spouses during marriage is exempt.
For income tax, the gift is free when it goes to a spouse, a parent, a child, a grandparent, a grandchild or a sibling, or to the person who supports or cares for the owner. Any other recipient pays 20% on the value in the gift contract, less the taxes paid on the gift.
- Provinces set the deed tax rate between 3% and 5%, and may set different rates for housing. The calculator lets you choose 3%, 4% or 5%.
- The value is the one the tax office assesses. The calculator uses the value you enter.
What the calculator leaves out
The value assessed by the tax office; provincial differentiated rates; the taxes on a later sale of the home, including income tax, VAT and land appreciation tax; and exemptions other than those of art. 6(4) and (5) of the Deed Tax Law.
| How the home passes | Deed tax | Income tax |
|---|---|---|
| Inheritance by a statutory heir | none | none |
| Will, to a non-statutory heir or legatee | 3% to 5% | none |
| Gift to the spouse during marriage | none | none |
| Gift to a close relative | 3% to 5% | none |
| Gift to anyone else | 3% to 5% | 20% |
契税法 art. 3, 6; 财税〔2009〕78号 art. 1
Frequently asked questions
› Is there inheritance tax in China in 2026?
No. An inheritance tax was announced in 1994 but never legislated, and none is collected.
› Does a child who inherits a flat pay deed tax?
No. A statutory heir who inherits a home is exempt from deed tax under art. 6(5) of the Deed Tax Law, and pays no income tax.
› Is giving a flat to a child cheaper than leaving it by will?
Not for the deed tax. The gift bears deed tax at 3% to 5%, while the child who inherits as a statutory heir pays none. Neither route bears income tax.
› What does a gift of a flat to a friend cost?
Deed tax at the provincial rate on the assessed value, then 20% income tax on the value less that deed tax. On a 5,000,000 yuan flat at 3%, that is 150,000 plus 970,000 yuan.
› Does a foreign heir inherit Chinese property the same way?
The tax rules above do not depend on nationality. Whether Chinese or foreign law governs the succession is a separate question of conflict of laws, not covered here.
Sources
Primary sources only: the National People's Congress, the Ministry of Finance and the State Taxation Administration. The calculator is checked against the rates and bases the texts state.
Statute
This page is educational and does not constitute legal or tax advice. Nothing you enter is stored, transmitted or logged; the whole calculation runs in your browser. Amounts are in yuan, with no currency conversion.
Other jurisdictions
Switzerland
Gift and inheritance tax
France
Gift and inheritance tax
United Arab Emirates
Succession, wills and guardianship
United States
Estate tax on a nonresident's US assets
United Kingdom
Inheritance tax, residence based regime
Japan
Inheritance tax, residents and non-residents
South Korea
Inheritance tax, resident or non-resident deceased
Australia
Super and capital gains at death
Russia
Notary duty and tax on gifts
Singapore
Stamp duty and succession
India
Tax on gifts from non-relatives