1001 Chinese Tales: Breaking wedding vows for profit breeds mistrust

By Liu Zhun Source:Global Times Published: 2013-3-15 23:23:01

 

Illustration: Peter C. Espina/GT
Illustration: Peter C. Espina/GT

By Liu Zhun

As the traditional wedding vow goes, brides and grooms solemnly swear to remain together "til death do us part." However, a recent change to property tax law in China has couples lining up for divorce, degrading their vow to "til tax do us part."

On March 1, the Chinese government introduced a series of new rules to rein in skyrocketing housing prices, the most eye-catching of which stating that property owners have to pay a capital gains tax of 20 percent when selling property that is not their only residence.

However, thanks to a loophole, couples with two properties can avoid the tax by getting a divorce, putting the property they wish to sell into one person's name, and putting it up on the market as the owner's single property. After it sells, they can remarry.

Although the new policy has not been fully implemented nationwide and many details are still unexplained, people are flocking to take advantage of this perceived easy way out. Divorce, of all things, has perhaps become a ridiculous but effective method for dodging taxes.

The media has reported that since the new housing policies were issued, divorce rates in many places throughout the country have witnessed an unusual, even unprecedented increase. On March 4, the marriage registration office - which deals with divorce as well - in Pudong district, Shanghai, divorced a record 51 couples in one day. The officials were shocked to see how peaceful and even happy these couples were after getting divorced. More surprisingly, some of these couples confessed that they had filed for divorce for only one reason - property taxes.

Looking back on a number of issues concerning real estate, snap divorces are not a brand-new topic. In recent years, we have seen an increase in the number of couples filing for divorce in order to receive more compensation when their houses had to be removed or relocated, snatching up an extra hukou, or household registration.

As fake divorce can save hundreds of thousands of yuan, it may well be a cost-effective or even profitable option. However, tragedies and traps lie within.

Back in 2012, a woman in Qingdao, Shandong Province, who had agreed to divorce her husband in order to get more relocation compensation, was fooled into a trap. He tricked her by saying that they would get two relocation houses and more compensation if they got divorced. In the end, support for only one family relocation was offered, and he and his mistress took the new house.

The surge of divorces has aroused widespread discussion about the new rules, and most ordinary people are critical of or at least uncertain about the new polices. This wary and overall negative response is a reflection of the people's continued disappointment in the government's ability to regulate real estate over the past few years.

Some experts argue that the new rules will do nothing to curb soaring house prices. On the contrary, they contend, the policies will harm the legitimate interests of home buyers despite demand.

But since these policies have just come into effect, it is still unknown whether they will have the effect the government hopes for.

In addition to a possible economic shake-up, fake divorces are inducing the corruption of people's belief in love and morality.

Just as in the West, traditional Chinese marriage highlights mutual respect and faithfulness, encouraging couples to get through hardships and enjoy a happy life together.

However, when money or personal interests rule over the marriage, it is impossible for the couple to uphold the confidence between them. The increasing tragedies caused by fake divorces have not only ruined families, but also fanned the hungry flame of spreading mistrust.

The author is a reporter with the Global Times. liuzhun@globaltimes.com.cn



 


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