The latest revision of the Ministry of Finance’s “luxury housing standards” has caused panic among the public! The housing agency today (19th) compiled the transaction volume of real-price registered luxury homes over 10 years old in 2023 and found that after the new system’s road-going standards are expanded, “Kaohsiung and New Taipei will become the new victims”! Xu Jiaxin, executive director of Jusho Real Estate Planning and Research Office, pointed out that after the Ministry of Finance relaxed the standards, the property transaction income tax of these homeowners will at least double after selling their houses. People who sold high-priced houses last year may face a huge tax attack. It is recommended to reserve tax resources before the tax filing season in May to avoid the dilemma of being unable to pay taxes.
Further reading:An article on tax reduction for 3.125 million households across the country looks at the 2.0 benchmark of housing tax
The Ministry of Finance has revised down the “luxury standard” to make the sales tax twice as high. Kaohsiung and New Taipei have become new victims.Kaohsiung real estate market map/provided by real estate agency
On the 16th, the Ministry of Finance issued the “Regulations on the Calculation of Property Transaction Gains from Individual Sales of Houses in 2012.” For individuals who sell houses acquired before 2014, the definition of those whose total real estate transaction amount reaches a certain threshold will be expanded. The Housing and Commercial Institution Planning Research Office has compiled 112 full years and the house is more than 10 years old and has the opportunity to be applied to the transaction volume of high-priced houses under the old system. It was found that after the standards were expanded, Taichung had the largest increase of 456 cases, while Kaohsiung and New Taipei had the largest increases of 211% and 210% respectively.
Xu Jiaxin, executive director of Jushuo Real Estate Planning and Research Office, pointed out that housing prices in cities across Taiwan have soared in recent years, and many owners who acquired their houses in the early years have made huge profits. After the Ministry of Finance relaxed the standards, after these homeowners sell their houses, their property transaction income tax will increase by at least one percent. Times, you must pay attention before selling.
The owners of the old houses are happy, but the owners of Kaohsiung and New Taipei University are suffering.
Xu Jiaxin pointed out that many people were very panicked when the policy came out. However, it should be clarified that this only applies to homeowners who were subject to the old system before the integration of housing and land was obtained. Homeowners who are eligible for the consolidation of housing and land do not need to worry.
In the definition of the Ministry of Finance, Taipei City used to refer to transactions with a transaction amount exceeding 70 million yuan, which was revised to 60 million yuan this time; New Taipei City was revised down from 60 million yuan to 40 million yuan; Taoyuan City, Hsinchu County, Hsinchu City, Taichung City, Tainan City and Kaohsiung City dropped from NT$40 million to NT$30 million;
In 2023, the transaction volume of luxury homes over 10 years old will be recorded at real prices.Picture/provided by residential and commercial institutions
In the transactions in various cities last year, due to the expansion of standards, Beijing City increased by 132%, New Taipei increased by 210%, Taoyuan increased by 139%, Hsinchu increased by 159%, Taichung increased by 150%, and Tainan increased by 36%. Kaohsiung’s growth rate was 211%, with both New Taipei and Kaohsiung’s growth rates reaching over 200%. This is mainly due to the rise in housing prices in recent years, which has driven up the price of large square meters or sky-high prices. At the same time, Taichung has continued to write sky-high prices, and the number of pieces has also increased. Far more than other counties and cities, Tainan, which has been driven by the topic of Southern Science and Technology in recent years, has had less impact than expected due to the concentration of regional development and the low local acceptance of high prices.
No surprises for new construction, tax resources reserved for selling old houses
Xu Jiaxin reminded that according to the Ministry of Finance, since this type of case does not fall within the scope of personal real estate and land tax, the actual transaction amount should be based on the proportion of the current assessed value of the house at the time of sale to the total current value of the announced land and the total assessed present value of the house. Calculate the income attributable to the house, and then calculate the income from selling the house at 17% of the income, and incorporate it into the calculation of personal comprehensive income tax. Therefore, if people who sold high-priced houses last year may face huge tax attacks, it is recommended to reserve tax resources before the tax filing season in May to avoid falling into the dilemma of being unable to pay taxes.
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Yahoo Finance special correspondent Ye Yiru: With more than 20 years of experience in mainstream financial media, from the Web1.0 bubble in 2000 to the Meta Yuanverse Web3.0, he has witnessed the rise and fall of Taiwan’s large and small business groups, and has experienced five international financial crises. We believe that finance is life and is everywhere. No matter how difficult financial knowledge is, we should explain it in a simple way. Everyone, young and old, should manage money. If you don’t manage money, money will not care about you.
2024-02-19 03:53:51
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