Taiwan Individual Income Tax Q&A 31-Company Formation_Trademark Registration_Tax Service - Hong Kong CPA

FAQ

Hot Labels

Service Scope KAIZEN CPA provides Audit , Accounting, Tax Advisory, Hong Kong Company Formation, Offshore Company Registration, China Company Formation, Trademark Registration, Tax Service.

Taxation - Taiwan

Question

Taiwan Individual Income Tax Q&A 31

Answer

How to determine the cost of selling private equity beneficiary certificate in Taiwan?

1.	If it is obtained through securities investment trust enterprise, the cost shall be determined by the purchase price.
2.	If it is obtained through the transferal of beneficiary certificate by the beneficiary, the cost shall be determined the transferal price.
3.	If it is obtained through inheritance or given, the cost shall be determined by the price when it was inherited or given.
4.	If it is obtained through other ways, the cost shall be determined by the actual transaction price.

What are the ways of calculating the cost of private equity investing trust fund beneficiary certificate?

1.	If the taxpayer could provide the original acquisition cost, the cost shall be calculated by the specific identification, or it can be calculated based on the weighted average method based on the beneficiary certificates of the private equity investment trust fund issued by the same fund held at the time of sale.
2.	When a taxpayer holds several types of beneficiary certificate at the same time, they can use different cost identification methods.
3.	If the taxpayer has not proposed the original acquisition cost, and the authority determines its cost based on the data obtained from the investigation, the authority shall use the weighted average method to calculate the cost.
4.	Once the weighted average method is adopted, the weighted average method shall also be adopted in subsequent years before the transfer of all the beneficiary certificates of this kind is completed, and the specific identification method shall not be adopted.

When calculating income from beneficiary certificate transactions of private equity investment trust funds in Taiwan, what are the necessary expenses that can be deducted?

When calculating the income from the beneficiary certificate transaction of private equity investment trust funds, the necessary expenses that can be deducted are handling fees.

If there are two or more people engaged in private equity investment trust fund beneficiary certificates in the current year within the same alternative minimum tax declaration household, can different people's private equity investment trust fund beneficiary certificates transaction gains and transaction losses be offset by each other?

Yes. The income or loss of the beneficiary certificate of the private securities investment trust fund of the reporting account in the current year shall be calculated after the profits and losses of the private securities investment trust fund beneficiary certificate transactions of all members of the reporting account have been offset.

If the beneficiary certificate transactions of Taiwan's private equity investment trust funds are lost throughout the year, can they apply for deduction when they declare the alternative minimum tax in the following years?

Yes. The loss from the transaction of beneficiary certificates of private securities investment trust funds may be deducted from the proceeds from the transaction of beneficiary certificates of private securities investment trust funds in the current year; the proceeds from transactions of beneficiary certificates of private securities investment trust funds in the current year can be deducted, or if the deduction is insufficient, Within 3 years from the year following the year of occurrence, when the alternative minimum tax is declared, it shall be deducted from the proceeds from the transaction of beneficiary certificates of private equity securities investment trust funds.

FAQ

Hot Labels

SHARE

Taxation - Taiwan

Question

Answer

Related Articles