The newly launched individual income tax app by the country's tax authority released a new version on Sunday, making house owners' information optional for tenants when applying for deduction on rent, Beijing Youth Daily reported.
Previously, the app required tenants to fill in their house owner's name and ID number. Many tenants said on the internet that when they asked the house owner for ID number, they were warned not to apply for rent deduction or the house rent would be increased.
House owners should pay tax for their income from rents, but many of them simply refrain from registering their renting contracts in order to avoid paying the tax.
A person from tax authority said that the update on the app does not mean tax authority would not pursue tax payment. He said the change is mainly to solve the problem of tenants not being able to get house owner's ID number and house owners' fear of information leakage.
The State Administration of Taxation launched the tax app on Jan 1, which is designed to collect taxpayers' applications for additional deductions.
The deductions cover six categories: children's education, continuing education, treatment for serious diseases, mortgage interest, rent and eldercare.