This Regulation is enacted pursuant to the sixth paragraph of Article 2 of the Foundations Act (“Act”).

The following property shall be aggregated in calculation of a foundation’s fund:
1. Endowment property: the property endowed by the endower with an endowment charter or will when a foundation is established.
2. Property acquired through receipt of donation, purchase or other reason after a foundation’s establishment and included in the fund pursuant to a resolution passed by the foundation’s board of directors;
3. Property required to be included in the fund under the law: the property required to be included in a foundation’s fund pursuant to laws, regulations, self-governance acts or regulations promulgated pursuant to self-governance acts.

The value of each property comprised in a foundation’s fund shall be determined in the manner laid down below:
1. Cash: The value shall be the New Taiwan Dollar value when it is endowed or included in the fund pursuant to a resolution passed by the board of directors. For currency other than the New Taiwan Dollar, the value shall be calculated at the Bank of Taiwan’s foreign exchange spot buying rate at the close of the last business day prior to the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors.
2. Listed stocks, OTC stocks and emerging stocks: The value shall be calculated at the closing price or weighted average price on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors. If there is no trading price, the value shall be calculated at the closing price or weighted average price on the first day with trading price after the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors.
3. Unquoted stocks: The value shall be calculated at the net worth per share set out in the most recent financial statements in time on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors.
4. Land, house, relic and monument or other non-cash property with cultural heritage value: The value shall be determined by the actual acquisition cost if there is a purchase evidence; otherwise it shall be determined by a creditable assessment or other methods to determine the value with relevant supporting documents.
5. The value shall be determined in accordance with the following if it cannot be proved pursuant to the preceding subparagraph:
(1) Land: The value shall be determined by the government-assessed land value applicable on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors with an adjustment in accordance with the most recent Taiwan consumer price index published by the government in time on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors. However, for the land reserved for public facilities pursuant to the Urban Planning Act and the land used for public passage by government, the value shall be equal to 60 percent of the government assessment land value applicable on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors.
(2) House: The value shall be determined by the government-assessed house value applicable on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors with an adjustment in accordance with the most recent Taiwan consumer price index published by the government in time on the day when it is endowed or included in the fund pursuant to a resolution passed by the board of directors.
(3) Relic and monument with cultural heritage value: The value shall be determined by the value set out in a proof of value issued by the regulatory authority of the relic or monument, or the current price when it is endowed or included in the fund pursuant to a resolution passed by the board of directors as set out in a certificate issued by the foundation and submitted for the regulatory authority for records.

Any property included in a foundation’s fund falling under the scope of the following shall be regarded as an endowment or donation from a government agency, public legal person, government-owned enterprise or government-endowed foundation in the fund:
1. The property is endowed to the foundation at the time of its establishment registration by a central or local government (including special revenue funds), public legal person, government-owned enterprise (including such enterprises prior to privatization), government-endowed foundation or abolished government agency (including special revenue funds) or by a dissolved government-endowed foundation with its residual assets.
2. The property is donated to the foundation after the time of its establishment registration by a central or local government (including special revenue funds), public legal person, government-owned enterprise (including such enterprises prior to privatization), government-endowed foundation or abolished government agency (including special revenue funds) or by a dissolved government-endowed foundation with its residual assets.
3. For the fund increase which is transferred from surplus or reserve for the current period, the value shall be calculated by multiplying the transferred amount by the ratio of the total endowments and donations to the total fund at the time of such transfer. For the fund increase which is transferred from the accumulated surplus or reserve as of the preceding fiscal year end, the value shall be calculated by multiplying the transferred amount by the ratio of the total endowments and donations to the total fund at the beginning of the year of transfer. If the transfer occurs before the Act becomes effective, the value of the fund increase as a result thereof shall be calculated pursuant to the original method as set out by the competent authority.
The property included in a foundation’s fund other than those set out in the preceding paragraph shall be calculated as endowments or donations from private sectors and included in the fund.
The preceding two paragraphs shall apply mutatis mutandis when the fund is reduced.

A foundation shall not include the property acquired after its establishment registration in the fund unless the ratio of the donation, interest derived from the fund and other incomes the foundation received in total during the previous 3-year period to the total expenditure spent on its operation as set out in the charter of endowment reaches 60 percent.
The preceding paragraph shall not apply in any of the following circumstances:
1. The foundation’s total fund amount does not exceed NT$50,000,000.
2. A government-endowed foundation, as determined by the competent authority, is required to include the property in the fund for the purpose of performing specific policy.
3. A public-endowed foundation entrusted to perform specific task pursuant to the Civil Code and laws and regulations other than the Act, as determined by the competent authority, is required to include the property in the fund for the purpose of performing specific task.
The amount of those incomes set out in the first paragraph may be determined by taking into account the value recognized by the tax collection authority or other relevant authority.

This regulation shall come into force from February 1, 2019.