| dc.description.abstract | From birth to death, we can hardly escape tax in our lives. Since the Financial Crisis in 2008, countries have been exhausted to carry out cross-border taxation investigations. People with high net worth will face high tax burdens based on the tax laws, therefore, a well-rounded financial plan for those with high net worth is of vital importance.
Currently, Taiwan only exchange information with countries that has shared tax treaties with us. Since we can only exchange bilateral information through tax treaty, it is impossible to find out all of one’s hidden overseas assets and incomes, creating countless tax evasion loopholes. As a result, the Controlled Foreign Company and the Place of Effective Management passed act such as the OECD Financial Account Information Common Exchange Standard (CRS), and launched the Taiwanese version of the Foreign Account Tax Compliance Act at the end of November 2017 to promote anti-tax evasion.
The information exchanged internationally will then not only be limited to taxation information, but overseas financial account information will be obtained, which will be more effective in implementing anti-tax fraud. Hence, in the context of anti-tax evasion measures, CRS needs to determine whether non-residents are taxable-residents of Taiwan. Countries will carry out necessary information exchange in order to investigate hidden taxable assets and in the long run, decreas tax loss.
This study will analyze the trend of the international taxation law reformation and how Taiwan responds to relevant changes, especially when the asset allocation of high-net-worth individuals is often complicated; Explore the impact of the OECD financial account information CRS on the financial planning of high net worth individuals, including stocks, real estate, cash and financial investments, considering how to allocate asset to avoid or mitigate unnecessary taxation risks beforehand. In addition to wealth accumulation, one must keep balancing and protecting inheritance in mind as well.
According to my research results, it does generate tax-efficient benefits of substantial financial planning for high-net-worth individuals in the process. Thus, the impact of OECD financial account information CRS for the financial planning on high-net-worth people relies on the assistance of financial services professionals to manage the assets accordingly and obtain the maximum compliance and tax savings. This study also provides inspiration to professionals who are engaged in financial management services, including private banks, accountants, financial advisory companies or family accounts when assisting financial planning and providing wealth management services.
| en_US |