Newsletter
ESTATE AND GIFT TAX LAW AMENDED
The Legislative Yuan in June 1999 amended the Estate and Gift Tax Law to make property gifted by a deceased within two years prior to his/her death to his/her spouse, legal heirs, step up heirs and their spouses subject to estate tax liability. The amendment was made retroactive to 26 June 1998.
Article 11 of the law as amended in June 1998 created an unreasonable situation which allowed a credit to estate tax liability for any gift tax or land value incremental tax paid on the property given by the deceased within two years prior to his/her death to his/her spouse, legal heirs, step up heirs and their spouses while the gift made by the deceased within three years prior to his/her death was included in his/her estate for assessment of estate tax.