Taiwan Estate Tax and Gift Tax
Taiwan Estate Tax
Taiwan estate tax is based on all property transferred at death. Taiwan estate tax covers the following:
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Property left by the deceased who was a Taiwanese citizen and regularly resided in Taiwan, regardless of whether the location of the property is within or outside Taiwan.
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Property left by the deceased who was a Taiwanese citizen but resided outside Taiwan regularly, or who was not a Taiwanese citizen, only if the property is located within Taiwan.
The total Taiwan estate tax is valued according to the property value prevailing at the time of death and is subject to a flat rate of 10 percent. However, there is an exemption threshold of TWD 12 million, and transfers of property under this value will not be subject to Taiwan estate tax.
Taiwan Gift Tax
Taiwan gift tax is based on all property transferred and includes:
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Any gift made by a donor who is a Taiwanese citizen and regularly resides in Taiwan, irrespective of whether the property gifted is located within or outside Taiwan
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A gift made by a donor who is a Taiwanese citizen but resides outside Taiwan regularly, or who is not a Taiwanese citizen, only if the property given away is located in Taiwan.
Generally, the taxpayer is the donor; however, in certain circumstances the recipient is liable.
The total gift is valued according to the property value prevailing at the time of transfer and is subject to a flat rate of 10 percent. However, there is an exemption threshold of TWD 2.2 million per taxpayer per year, and transfers of property under this value will not attract gift tax.
Orange County Estate Planning Attorneys for Taiwan Property
If you or a loved one owns property in Taiwan, with inheritance or gift questions, contact John Wong, Orange County International Estate Planning Attorney for Taiwan at Modern Wealth Law.
John Wong advises on all aspects of estate planning, probate, asset protection and trust administration. He believes that estate planning is about planning for life; while having protections in place should the unexpected occur.
