The Largest Inheritance Wave Arrives! Siblings' Reserved Share to Be Abolished on February 17, 2027 – Experts Warn Two Groups Will Be Most Affected

The Legislative Yuan has passed an amendment to the Civil Code, with the President formally announcing yesterday (the 17th) the removal of the 'reserved share for siblings.' A six-month grace period is in place, with full implementation scheduled for February 17, 2027. Under the revised law, statutory inheritance shares remain unchanged—siblings may still participate in distribution if there is no will—but testamentary autonomy is greatly enhanced, most deeply affecting single individuals and childless couples (known as 'top-ke' families). KSS Financial Consulting points out that this amendment is merely the tip of the iceberg amid Taiwan’s largest-ever inheritance wave. Facing increasingly complex generational transitions, high-net-worth families should move beyond the passive traditional mindset of 'dividing assets after death' and instead adopt proactive, comprehensive 'family wealth governance,' deploying cross-disciplinary expert teams to secure asset safety and long-term family prosperity.

With social changes, siblings often live independently or become emotionally distant after adulthood. Yet historically, blood ties guaranteed them a reserved share, frequently sparking inheritance disputes. The Ministry of Justice states this reform responds to evolving family structures, easing restrictions on testators. If inheritance occurs within six months of the law’s promulgation, the old law still applies. If there is no will and no higher-priority heirs, siblings may still inherit. Experts emphasize that wills will play a more critical role under the new law, urging the public to plan early.

Tsai Sheng-wei, Chairman of KSS Insurance Brokers (6028-TW) and KSS Financial Consulting, notes Taiwan is facing the largest intergenerational wealth transfer in history, and traditional inheritance systems can no longer meet modern family needs. Past succession planning was often oversimplified into 'tax savings' or 'writing a will,' but wills alone cannot resolve issues like business succession, long-term income stability for family members, or asset risk defense.

In response, Yang Chen-ho, Project Lead for the Family Office at KSS Financial Consulting, explains that mature family asset portfolios often span corporate equity, international real estate, diverse financial instruments, insurance, and offshore trusts, while also confronting operational control and complex tax challenges. To address these multifaceted needs, KSS promotes an integrated family wealth service centered on 'Family First,' upgrading its model from 'one advisor serving one client' to 'one professional team serving one family.' A lead advisor acts as chief financial planner, integrating resources from financial planners, tax accountants, lawyers, trust experts, and family offices to deliver customized, one-stop solutions.

Tsai emphasizes that the focus of family wealth management is shifting toward building a governance framework encompassing three layers: 'wealth preservation and transfer,' 'sustained operation of businesses and assets,' and 'alignment of family values and consensus.' Entrepreneurs should proactively consider resource allocation while their judgment is clear, working with expert teams and family offices to accurately identify potential risks and bring in specialist support at the optimal time—ensuring long-term succession from a holistic family perspective.