BEIJING – China is planning to cut taxes for home purchases as the government dials up fiscal support to revive a moribund housing market, according to people familiar with the matter. 

Regulators are working on a proposal that would allow mega cities including Shanghai and Beijing to cut the deed tax for buyers to as low as 1 per cent from a current level of as much as 3 per cent, the people said. City governments have leeway to tweak the rules, the people added.