When moving home, if the gap between selling your old property and buying a replacement home falls within 2 years, you can apply for refunds across two separate taxes: Land Value Increment Tax applied through the local tax revenue office (Article 35 of the Land Tax Act), and House-Land Integrated Tax applied through the National Taxation Bureau (Article 14-8 of the Income Tax Act, which requires filing within 5 years following the registration date of the replacement home when selling first). Both tax relief schemes place the replacement home under strict 5-year regulatory supervision; leasing, commercial operation, ownership transfer, or vacating household registration within 5 years triggers full clawback of refunded amounts. Buying first before selling also qualifies for both refund mechanisms.
Warning: Reinvestment tax refunds for Land Value Increment Tax and House-Land Integrated Tax constitute two independent regulatory regimes: they feature different calculation formulas, distinct starting points for the 2-year window, and divergent rules regarding purchasing under a spouse's name. Individual cases remain subject to final audits by the Taipei Revenue Service, New Taipei City Government Revenue Service, and National Taxation Bureau branches.
Comparison Between the Two Reinvestment Tax Refund Schemes
| Evaluation Item | Land Value Increment Tax Reinvestment Refund | House-Land Integrated Tax Reinvestment Refund (or Credit) |
|---|
| Statutory Basis | Land Tax Act Articles 35 to 37 | Income Tax Act Article 14-8 |
| Calculation of 2-Year Window | Sell first then buy: repurchase within 2 years of land transfer registration. Buy first then sell: sell land within 2 years of repurchased land registration (contract date applies if filed within 30 days; filing date applies if overdue) | Difference between completed transfer registration dates of sale and replacement repurchase must not exceed 2 years |
| Refund Amount Formula | Refunds the portion of new land value exceeding (original sale land value − paid land value increment tax), capped at total paid tax | Paid tax amount × repurchased price ÷ sale price |
| Title Ownership Requirements | Seller and repurchaser must be the exact identical individual | One spouse selling and the other spouse repurchasing is permissible |
| Prior Non-Lease Restrictions | No leasing or commercial business use within 1 year prior to sale | No leasing or commercial business use within 1 year prior to sale |
| Plot Area Caps on Replacement Land | Up to 300 square meters for urban land, 700 square meters for non-urban land; sold land has no area limits | Statutory articles establish no square-meter area caps |
| Statutory Application Deadline | Land Tax Act establishes no specific deadline (subject to general 10-year statute of limitations) | Sell first then buy: within 5 years after registration of new home. Buy first then sell: deducted upon filing sale |
| Administrative Filing Authority | Local tax authority where the original sold land is situated | National Taxation Bureau of household registration (Taipei: Taipei National Taxation Bureau; New Taipei: Northern National Taxation Bureau) |
| Regulatory Supervision Period | Clawback triggered if repurchased land is transferred or converted to other uses within 5 years of registration | Clawback triggered if property is transferred or converted to other uses within 5 years of repurchase |
Land Value Increment Tax Reinvestment Refund: Criteria and Calculations
Criteria compiled by the Taipei Revenue Service require simultaneously satisfying seven conditions:
- Repurchase land within 2 years after selling land, or sell existing land within 2 years after purchasing new land.
- The land value of repurchased land must exceed the balance remaining after subtracting paid Land Value Increment Tax from original sold land value.
- The titleholder of both sold and repurchased land parcels must be the exact same individual.
- Buildings situated on both sold and purchased land parcels must belong to the landowner, spouse, or direct lineage relatives, with completed household registration.
- Eligible area is capped at 300 square meters for urban land and 700 square meters for non-urban land on repurchased parcels; sold land faces no area restrictions.
- Sold land must not have been leased or used for commercial business within 1 year prior to sale.
- When buying first before selling, the owner must already hold land qualifying for self-use residential status at the time of the replacement purchase.
Here, "land value" refers to the officially assessed present value at the time of both property transfers, rather than private commercial transaction contract prices. The formula is: Refund = Newly purchased land value − (Original sold land value − Paid Land Value Increment Tax), subject to a refund ceiling equal to the tax amount originally paid. For example: if original sold land value is NT$3,000,000 and paid Land Value Increment Tax is NT$800,000, the baseline threshold is NT$2,200,000. If the replacement land value is NT$2,500,000, the refundable excess is NT$300,000; if replacement land value reaches NT$3,500,000, the excess is NT$1,300,000, capped at the full NT$800,000 paid tax. Selling first at standard tax rates preserves your once-in-a-lifetime 10% self-use preferential rate for future disposals; see our guide on Land Value Increment Tax Self-Use Rates.
House-Land Integrated Tax Reinvestment Refund: Criteria and Calculations
Article 14-8 of the Income Tax Act provides tax relief for self-use residential transactions. Criteria established by the National Taxation Bureau require:
- The individual or spouse, or underage children completed household registration, resided in the property, and maintained zero rental or commercial use within 1 year prior to sale.
- Completed ownership transfer registration dates of sale and purchase fall within 2 years of each other.
- Repurchase in the name of a spouse is fully permitted.
Calculation differs by purchase scale. Upgrades (repurchase price ≥ sale price): Full 100% refund of paid House-Land Integrated Tax. Downsizing (repurchase price < sale price): Proportional refund calculated as: Paid Tax × (Repurchase Price ÷ Sale Price). For example: selling a home for NT$20,000,000 with paid House-Land Integrated Tax of NT$600,000, repurchasing a replacement home for NT$15,000,000 yields a refund of NT$600,000 × 1,500 ÷ 2,000 = NT$450,000. Repurchasing for NT$25,000,000 exceeds 100%, refunding the full NT$600,000 paid tax. Selling first requires filing within 5 years after new home registration; buying first allows claiming credit directly during the 30-day post-sale tax filing. For tax brackets, review House-Land Integrated Tax Holding Period Rates.
5-Year Regulatory Supervision: What Triggers Tax Clawback
The Taipei Revenue Service enforces "5-Year 3-No" guidelines for Land Value Increment Tax refunds: no transfer, no vacating household registration, and no leasing or commercial use. Within 5 years, at least one person—the owner, spouse, or direct relative—must maintain continuous household registration without interruption; in one precedent, a resident whose registration was transferred out for merely 4 days was subjected to a clawback of NT$650,000. Exceptions without clawback include overseas civil service postings, children attending school, or owner death. For House-Land Integrated Tax, converting the property to other uses (lack of actual residence, leasing, business use) or re-transferring within 5 years triggers full clawback by the National Taxation Bureau.
For registration documentation, see Household Registration Move-In Required Documents. Note that properties acquired prior to Year 105 (2016) follow the legacy tax regime under Article 17-2 of the Income Tax Act for comprehensive income tax deductions, requiring repurchase within 2 years where replacement price exceeds sale price.
Frequently Asked Questions
Within how many years must a reinvestment tax refund be filed?
House-Land Integrated Tax requires applying within 5 years following the day after completing replacement home transfer registration when selling first. Land Value Increment Tax under the Land Tax Act specifies no standalone deadline (subject to Article 131 10-year statute of limitations under the Administrative Procedure Act); file as early as possible with the local tax office.
Can I claim a tax refund when downsizing to a cheaper home?
For House-Land Integrated Tax, yes; downsizing qualifies for proportional refunds based on relative purchase price. For Land Value Increment Tax, new land value must exceed original land value minus paid tax to yield a refundable balance.
Can I purchase a new home before selling the old property?
Yes. Both schemes permit buying first before selling within 2 years, provided the old home qualified as self-use residential property when the replacement was bought.
Can I sell a home under my wife's name and buy a new home under my name?
For House-Land Integrated Tax, yes, spouse cross-ownership is recognized. For Land Value Increment Tax, no; the seller and repurchaser must be the exact identical individual.
Can I lease out the replacement home within 5 years?
No. Leasing, commercial operation, title transfer, or emptying household registration within 5 years triggers immediate clawback of refunded tax payments.
Last updated: 2026-11-01
This compilation of public tax guidance is for general informational purposes; for individual tax assessments, contact Taipei Revenue Service at 02-2394-9211, New Taipei City Government Revenue Service at 02-8952-8200, or the national toll-free tax hotline at 0800-000-321.
Sources and References
- Laws and Regulations Database: Land Tax Act (Amended January 24, Year 114 / 2025, verified November 1, 2026): Article 35 reinvestment refund, Article 36 land value definition, Article 37 5-year clawback.
- Laws and Regulations Database: Enforcement Rules of the Land Tax Act (Amended September 23, Year 110 / 2021, verified November 1, 2026): Article 55 application authorities and inter-county processing.
- Laws and Regulations Database: Income Tax Act (Amended September 11, Year 115 / 2026, verified November 1, 2026): Article 14-8 House-Land Tax reinvestment relief, Article 17-2 legacy regime.
- eTax Portal, Ministry of Finance: Item 1812 What is Self-Use Residential House-Land Tax Credit? (Updated March 14, Year 114 / 2025, verified November 1, 2026): Conditions, spouse titles, documents, and 5-year clawback.
- eTax Portal, Ministry of Finance: Smart Strategies for Residential Reinvestment Tax Refunds (Updated September 19, Year 114 / 2025, verified November 1, 2026): 2-year timelines, calculation examples, unlimited frequency, and rate preservation.
- Taipei Revenue Service: What are Application Requirements for Self-Use Land Value Increment Tax Reinvestment Refunds? (Updated February 17, Year 111 / 2022, verified November 1, 2026): 7 core requirements.
- eTax Portal, Ministry of Finance: Easier Moving with Land Value Increment Tax Refunds (Taipei Revenue Service, July 11, Year 113 / 2024, verified November 1, 2026): 5-year 3-no rules, registration interruption cases, and exemptions.
- Taipei City Laws and Regulations System: Ministry of Finance Ruling Tai-Cai-Shui-Zi No. 0900457411 (November 28, Year 90 / 2001, verified November 1, 2026): Application of Civil Code statute of limitations prior to Administrative Procedure Act.
- Laws and Regulations Database: Administrative Procedure Act (Amended January 20, Year 110 / 2021, verified November 1, 2026): Article 131 public law claim 10-year statute of limitations.
