BEIJING - Chongqing, one of the pilot cities for a property tax, promised on Friday that the tax will not apply to people on low incomes.

Huang Qifan, mayor of the Southwest China metropolis and a national legislator, said the city has decided to impose the tax on high-end housing only, which accounts for just 10 percent of the city's total.

Chongqing is charging a 1 percent tax on villas and apartments that are more than three times the average price. The rate rises to 1.2 percent if the houses are four times more expensive than the average, he said.

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"The property tax rate may fluctuate in the future, but the taxation will proceed in a robust way," he said.

"For commercial houses and government-subsidized residential buildings of low-income residents, I believe it is unnecessary to impose a property tax - and we will not," Huang told a press conference.

The country has increased its efforts to tame the soaring property prices, introducing trial property taxes in Shanghai and Chongqing, and limiting the number of houses a person can buy in some cities.

Chongqing has also accelerated the building of public rental apartments for eligible families on a limited income to protect them from sky-high prices, Huang said.

Between 2010 and 2013, the city will build low-income public housing with a total area of 40 million square meters for residents in the city, including migrant workers, he said.

Meanwhile, the average income of urban residents in Chongqing hit 17,532 yuan ($2,700) in 2010, an 11.3-percent increase year-on-year, while the average income of rural residents grew by 13.4 percent to 5,277 yuan during the same period.

China Daily