Rent-free tax treatment during the epidemic period

If rent-free occurs during the epidemic, the contract signed by the lessor and the lessee shall be taken as the benchmark. If both parties to the lease contract have an agreement on the rent-free period in the contract, the rent-free period can be regarded as sales without paying value-added tax, and there is no need to confirm the rental income and calculate the taxable income of enterprise income tax. If both parties to the lease contract do not agree on the rent-free period in the contract, they shall be regarded as sales, and declare and pay value-added tax according to the guidance of the competent tax authorities, and confirm the rental income and taxable income of enterprise income tax.

At the same time, according to Article 2 of the Notice of the Ministry of Finance of People's Republic of China (PRC), State Taxation Administration of The People's Republic of China, on the Policy of Resettlement of Urban Land Use Tax for Disabled Employment Units, if the lease contract signed by both parties has a rent-free period, the property owner will pay the property tax according to the original value of the property during the rent-free period.