【正文】 Banzhaf and Lavery, 2022) have found potential benefits of such a property tax reform, but only a few jurisdictions mainly in the Pennsylvania have so far adopted this type of property tax system (England and Zhao, 2022). Features of Splitrate Property Tax System In Taiwan ? One of important features is that its tworate taxation practice violates the mon rule that land should be taxed at a higher rate than building. ? For example: the value of land used for the residential purpose is taxed only at %, while the value of building for residential purpose is taxed at %. Features of Splitrate Property Tax System: Continued ? The second important feature is that both land value and building value are assessed by two different appraisal mittees anized by two different government departments. Moreover, value assessors from these two mittees use different appraisal techniques. Two different mittees are mutually independent and do not cooperate with each other, so systematic assessment errors made by tax assessors from two departments are expected to be more significant. Effective Property Tax Rate for SplitRate System ? It is necessary to estimate a single nominal property tax rate by integrating two tax rates. ? It is necessary to estimate an assessment ratio by using two assessment values. Potential Problems of Estimating Effective Tax Rate ? The first potential problem is related to the arbitrary rule used in estimating a single nominal property tax rate. The arbitrary rule is based on the percentage of property value represented by land value. ? The second potential problem is related to the availabilities of the assessed value and the true market value. Data ? The property data we use in this study are provided by a leading mercial bank in Taiwan. The buyers of individual properties covered in this data made mortgage loans from this mercial bank when these properties were transacted between 2022 and 2022. ? We only choose the owneroccupied residential properties located in Taipei as our samples. The sample size is 9,381. Effective Tax Rates at Individual Level Assessment Ratio Effective tax rate maximum % % 99th percentile % % 95th percentile % % 90th percentile % % 75th percentile % % 50th percentile % % 25th percentile % % 10th percentile % % 5th percentile % % 1th percentile % % minimum % % Mean % % Standard Deviation % % Taipei City Basic Profile Zone District Function GDP/capita Mean Price* Unit Price** Pop. ratio Old Datong Historic 1,350,999 748 25 % Old Wanhua Historic 1,232,736 610 22 % Fringe Zhongzheng Political 1,708,344 971 35 % Fringe Zhongshan Political 1,471,139 897 26 % Central Daan Financial 1,866,542 1163 38 % Central Songshan Financial 1,620,002 927 30 % Central Xinyi Financial 1,659,104 849 27 % Fringe Nangang Industrial 1,352,611 703 23 % Suburban Neihu Industrial 1,555,502 776 22 % Suburban Shilin Culture 1,624,831 896 25 % Suburban Beitou Recreation 1,475,992 716 21 % Suburban Weshan Education 1,540,305 660 21 % Effective Tax Rate District Mean tax rate Median tax rate Standard deviation Datong % % % Wanhua % % % Zhongzheng % % % Zhongshan % % % Daan % % % Xinyi % % % Songshan % % % Nangang % % % Neihu % % % Shilin % % % Beitou % % % Weshan % % % Whole Taipei % % % Assessment Ratio Max Min Average Median Standard Deviation Shilin Datong Daan Zhongshan Zhongcheng Neihu Wenshan Beitou Songshan Xinyi Nangong Wanhua 2022 2022 2022 2022 2022 Tall building Low apartment Single house Effective Property Tax Rate and Property Characteristics ? Due to the assessment biases, the assessed value of property is often poorly corresponded to the true market value of property.