Estate Tax and Gift Tax

Individual Estate and Gift Tax

For ROC nationals with ROC domicile, such as an ROC household registration, Taiwan estate and gift taxes are levied on worldwide assets. For ROC nationals who do not have an ROC domicile, but have a residence in Taiwan, worldwide assets are subject to ROC estate and gift taxes, provided that the total length of stay within two years prior to the date of decease or gift transfer exceeds 365 days. For non-ROC nationals, Taiwan estate and gift taxes are levied on Taiwan source assets only.


Estate Tax

In general, the will executor or heir(s) will be the taxpayer of estate tax. The taxable amount is the fair market value of assets as of the date of decease. The law allows an exemption of NT$7,000,000 per estate tax return. In addition, deductions may be permissible if the deceased has a surviving spouse, lineal family members such as parents and children, and heir with disabilities, etc.

The formula for calculating estate tax is:
(Taxable Amount – Exemption – Deductions) * Progressive Tax Rates = estate tax liability

Taxable Range (NT$) Estate Tax Rate
Equal to or less than 600,000 2%
600,001 to 1,500,000 4%
1,500,001 to 3,000,000 7%
3,000,001 to 4,500,000 11%
4,500,001 to 6,000,000 15%
6,000,001 to 10,000,000 20%
10,000,001 to 15,000,000 26%
15,000,001 to 40,000,000 33%
40,000,001 to 100,000,000 41%
Exceeding 100,000,000 50%


Gift Tax

In general, the donor is the taxpayer for the gift tax. The fair market value of assets on the date of gift transfer is the taxable amount. The law allows an exemption of NT$1,000,000 per donor per year. In addition, gifts such as donations to the government or charitable organizations are exempt from gift tax.

The formula for calculating gift tax is:
(Taxable amount – Exemption) * Progressive tax rate = gift tax liability

Taxable Range (NT$) Gift Tax Rate
Equal to or less than 600,000 4%
600,001 to 1,700,000 6%
1,700,001 to 2,800,000 9%
2,800,001 to 3,900,000 12%
3,900,001 to 5,000,000 16%
5,000,001 to 7,200,000 21%
7,200,001 to 14,000,000 27%
14,000,001 to 29,000,000 34%
29,000,001 to 45,000,000 42%
Exceeding 45,000,000 50%

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