Chongqing is finalising plans for imposing a new tax on high-end residential property, according to Xinhua. City mayor Huang Qifan has recommended approval of the tax by the municipal legislature, and the Ministry of Finance has approved the tax in principle. The mayor did not disclose exactly when the property tax will be implemented or how it will be collected, but Xinhua said it could be introduced as soon as end-March.

Property prices in major Chinese cities such as Beijing, Shanghai and Chongqing, have risen rapidly over the past two years, precipitating growing public concern. For several months the central government has been considering the adoption of a property tax to regulate the market and cool prices.

Zhang Huayi, a deputy from Chongqing's Fuling district, said the local government should clearly define what ‘high-end’ means and reassess its overall involvement in the property market. "Local governments have profited from selling land and taxing property deals,” he said. “It doesn't make sense to re-tax residents who already owe large debts to banks.”

Meanwhile, plans have been drawn up to build Chongqing’s tallest building in the central business district of Jiangbeizui. Chongqing International Financial Center will cost about Rmb10bn to construct and will be some 500 metres tall. Jiangbeizui Development Investment, Jiangbeizui Xingen Property and an American real estate company signed an MOU to jointly develop the building.

Plans for the building were put on hold in 2009 to allow a redesign. The city’s current tallest building in the 283-metre Chongqing World Trade Center.