On April 25th, the Legislative Yuan passed a bill to expedite the reconstruction of old and dangerous urban buildings. The bill provides up to 50 percent tax reduction for up to 12 consecutive years for houses that fit the bill.
==MR WU, resident==
Our land ownership certificate is about 39 pings. The house we'll exchange is 40 pings. Because the 1st floor is worth much more, we will get a subsidy of NT$7 or NT$8 million.
After having lived in the house for 40 years, Mr. Wu's house became a dangerous building just because the neighboring house was under reconstruction for urban renewal, which caused damage to his house. After negotiation for many years, the constructor finally agreed to compensate and reconstruct the house.
==MR WU resident==
The whole building tilted because the neighboring house was under reconstruction. The house was later rated as a dangerous building. At last, the constructor was forced to deal with it.
On the contrary, the old houses of 40 years old across the 4-meter road were the same batch as Mr. Wu's house, but they did not win favor with the constructor and had a different fate.
==MR HUANG nearby resident==
I am thinking about urban renewal so that I can exchange an old house for a new one. Besides, the house is 40 years old and is too large to endure living in.
The dangerous building accommodates 16 households and is to be torn down this year, with all the residents agreeing to reconstruction. However, it requires Taipei City's Urban Regeneration Office to complete the reviewing and the preliminary work will take a long time. To expedite the reconstruction, the government revised the law and offered rewards. Those applying for reconstructing dangerous buildings within 5 years will enjoy 50% of reduction on the house and land tax for up to 12 years. Besides, additional 10% of reward for floor area ratio allotment will be provided if the application is filed within 3 years. The rewards apply to applications filed within 10 years after the bill is passed.
==LIU CHUNG-YI construction company==
(Those agreeing to urban renewal) passed the legal threshold but not every household is applicable to urban renewal. The landlords think it took a prolonged period of time.
==ZHUANG MENG-HAN Asst. Prof., Industrial Economics Tamkang University==
Whether the landlord can get back the original area remains unclear due to different usage of land zones.
Academics said reconstruction may lower taxes, but the house and land tax in Taipei City are high. The tax rate will increase 3 folds under the influence of the tax rate dependent upon street location after urban renewal. The newly-passed bill, which stipulates that reconstruction requires approval of all the households, is more applicable to old houses with simple land ownership certificate and small areas. However, building coverage ratio will also affect urban renewal, involving in households' interest distribution. Quite a few problems may arise in implementing urban renewal.
TRANSLATED BY：BRYANT CHANG
記者黃立偉 張國樑 台北報導