Inheritance of Sole Proprietorship: Inventory and Fixed Assets Exempt from Sales Taxation

• Inheriting inventory and fixed assets of a sole proprietorship is not considered a sale
• When applying to change the responsible person of a sole proprietorship that used uniform invoices when the father died, it is not necessary to issue invoices for the inherited inventory and fixed assets
• According to a letter from the Kaohsiung National Taxation Bureau of the Ministry of Finance, inherited inventory and fixed assets of a sole proprietorship are exempt from sales tax
• If the sole proprietorship is transferred or the responsible person is changed, the transfer of inventory and fixed assets should be considered a sale and require issuing uniform invoices and paying sales tax
• An example is given where the inheritor of a sole proprietorship is exempt from sales tax on inherited inventory and fixed assets, but if they transfer the business to someone else, sales tax must be paid on the transferred assets
• People with tax questions can contact the Kaohsiung National Taxation Bureau through a toll-free number or online through their website

Source: mof.gov.tw

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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