Land Tax Act Article 33

The land value increment tax rates are determined as follows:1. If the total amount of land value increment exceeds the original assigned land value or the previous transfer value for determination of the land value increment tax by less than 100%, a 20% land value increment tax shall be levied on the total amount of increment.2. If the total amount of land value increment exceeds the original assigned land value or the previous transfer value for determination of the land value increment tax by more than 100% but less than 200%, in addition to the tax levied according to the preceding subparagraph, a 30% increment tax shall be levied on the portion exceeding 100%.3. If the total amount of land value increment exceeds the original assigned land value or the previous transfer value for determination of the land value increment tax by more than 200%, in addition to the taxes levied according to the preceding two subparagraphs, a 40% increment tax shall be levied on the portion exceeding 200%.Any substantial loss in revenue to municipal and county (city) governments caused by the adjustment of the aforementioned tax rates shall be compensated by the central government until the implementation of the amendments to the Act Governing the Allocation of Government Revenues and Expenditures, which expands the scale of centrally allocated tax funds. This compensation shall not be subject to the restriction in Article 23 of the Budget Act, which prohibits the use of public debt revenue for regular expenditures.The calculation of the aforementioned substantial loss shall be decided by the central competent authority together with the municipal and county (city) governments through consultation.The assessed present value should be adjusted to reflect normal market transaction prices.When the national average of assessed present value reaches 90% or more of normal market transaction prices, the tax rates specified in the first paragraph shall be reviewed and revised.For land held for over twenty years, a 20% reduction in the portion of the land value increment tax that exceeds the minimum tax rate specified in the first paragraph shall be granted.For land held for over thirty years, a 30% reduction in the portion of the land value increment tax that exceeds the minimum tax rate specified in the first paragraph shall be granted.For land held for over forty years, a 40% reduction in the portion of the land value increment tax that exceeds the minimum tax rate specified in the first paragraph shall be granted.