ENPress release on successive beneficiary trusts
27 Jul 2026
The Financial Supervisory Commission (FSC) issued a press release on "successive beneficiary trusts" (also known as "century trusts").
According to the press release, the Executive Yuan has reached an inter-agency consensus on the framework and tax treatment principles applicable to successive beneficiary trusts, marking another important step in Taiwan’s efforts to develop itself into an "Asian Asset Management Center."
A "successive beneficiary trust" refers to a trust structure under which beneficial interests may pass successively to different generations of family members pursuant to the terms of the trust agreement, thereby enabling the long-term management and succession of family assets across generations.
The authorities confirmed that, provided the trust agreement clearly specifies the trust duration (up to 100 years) and the conditions for changes in beneficial interests, and the settlor and beneficiaries do not retain substantive control or influence over the trust assets during the trust term, the acquisition of beneficial interests by subsequent beneficiaries upon satisfaction of the agreed conditions will, in principle, not trigger gift tax or estate tax implications.
According to the press release, the Executive Yuan has reached an inter-agency consensus on the framework and tax treatment principles applicable to successive beneficiary trusts, marking another important step in Taiwan’s efforts to develop itself into an "Asian Asset Management Center."
A "successive beneficiary trust" refers to a trust structure under which beneficial interests may pass successively to different generations of family members pursuant to the terms of the trust agreement, thereby enabling the long-term management and succession of family assets across generations.
The authorities confirmed that, provided the trust agreement clearly specifies the trust duration (up to 100 years) and the conditions for changes in beneficial interests, and the settlor and beneficiaries do not retain substantive control or influence over the trust assets during the trust term, the acquisition of beneficial interests by subsequent beneficiaries upon satisfaction of the agreed conditions will, in principle, not trigger gift tax or estate tax implications.