Family (Individual) Estate Tax Advisory Services

There have been frequent changes in Taiwan tax laws in the recent years. In particular, when individuals selling shares of TWSE or TPEx unlisted companies, or shares of unregistered emerging-stock companies, the gains should be subject to the Alternative Minimum Tax (AMT). Furthermore, the amendments to certain provisions of the House and Land Transactions Income Tax 2.0 have come into effect on July 1, 2021. And CFC anti-avoidance regulations have come into effect in 2023. These new revisions directly or indirectly affect many high-income earners the most.

Meanwhile, Taiwan’s anti-tax avoidance awareness through controlled foreign company (CFC) rules may significantly increase the tax burden and the risk of exposure for high net worth individuals and high-income earners. Taiwan’s industrial structure is dominated by family SMEs, in the process of corporate growth and transformation, the businesses usually encounter problems regarding business sustainability and transfer of family wealth. The key to a sustainable business involves how to pass down a family business to the successor under the balance between tax audit risks and tax saving while incurring reasonable tax burden to the businesses and individuals who are involved.

KPMG has knowledgeable and experienced tax specialists who are capable of conducting comprehensive strategic assessments for family businesses and helping them to develop wealth transfer solutions while balancing between tax burden and risk control. It is our goal and mission to help family businesses achieve family asset preservation, wealth inheritance and legacy sustainability.

We provide the following services

Family wealth integration, interview, plan evaluation, and consultation on subsequent inheritance, distribution and preservation processes (including trusts, closed companies and inheritance tax, etc.)

Consultation on the shareholders equity structure and company investment structure adjustment before and after family equity inheritance

Consultation on the adjustment of CFC derivative investment structure and shareholders equity structure (including accounting processing consultation and risk assessment and response consultation)