The Finance Committee of Taiwan’s legislature has given its approval to amendments of the luxury tax imposed on residential property. The luxury tax imposes a 15 percent tax on the sale price of property sold less than one year after it was purchased and a 10 percent tax on property sold in the second year after purchase. The amendments approved by the Finance Committee ensure that the tax applies to properties located in non-urban industrial districts. They also broaden the scope of the legislation to cover persons purchasing a second home to replace their existing residence. The Ministry would be authorized to assess property transactions on a case by case basis, to provide more certainty and fairness for people investing for the long term.