In Jiangyin and Shunde, the share of tax revenue varies fromtownship to township1. For instance, in the Xinqiao township ofJiangyin city, the township retained 15.9% of tax revenue in 2012.In the Beijiao township of Shunde, the district government retained25.5% of tax revenue, the township retained 6.5% of tax revenue in2010 with the other 68% going to the higher level of government2.Since most tax revenue is collected by the higher level govern-ment, the township government and village cadres are inclined toseek other revenue sources, and rent from land has thus become animportant source of local revenue. Village cadres do not have thepower to share tax revenue, but they can rent out the collectively-owned land, or build factory buildings and commercial buildingsin the collectively-owned land and rent to local and outside enter-prises.