On The Application Of Principles Of Assessment In Real Terms In The Trust Tax Law

The principle of "substance over form" which is tax law's generalprinciple, is suitable for the trust tax law. Because of trust's Unique"double ownership" legal structure, namely, the separation of trustproperty into legal title and equitable title, the coexistence ofform-transferring and substantive-transferring in trust process, whichviolate the principle of "an object, an ownership" and its elasticity, whenit applies to our present tax law, it faces dual difficult position——taxavoiding and double taxed. In order to realize the tax revenue to be just, solute the problems, it is more necessary to utilize the principle ofsubstance over form. In view of the situation of our tax law——trustrelated tax law is blank, so the author propose that we should formulateour trust related tax law, and implement the basic principle of taxlaw—the substance over form. The aim of utilizing "substance overform" principle in trust related tax law are to guarantee the tax burden tobe fair, and promote the development of trust. Furthermore, authorsummarize the basic requests——the form-transferring of property not tobe taxed and the real beneficiary as bearer of tax. The using of "substanceover form" principle in trust related tax law mainly manifests theimplement of the two requests.In order to clear the use of"the substance over form" principle in trustrelated tax law, author has refereed to the trust related tax law in Taiwanarea, Japanese and England, separately from the three aspect——the trustincome tax law system, trust capital tax law system and trust transactiontax law system to describe the use of "the substance over form "principledetailed. Furthermore, the article then take trust process as the clue, takeincome tax, land value-added taxes, the title deed taxes, the businesstaxes and the stamp taxes as examples, propose some suggestion on thetax arrangement in trust, which for reference in the constructing of ourtrust related tax law.