In the event that, between April 1, Heisei 25, and March 31, Reiwa 8, a donee acquires trust beneficiary rights from a donor for the purpose of funding education, pursuant to an education fund management agreement with a financial institution or similar entity, if the recipient deposits the cash received through a written gift into a bank or similar institution, or uses the cash or other assets received through a written gift to purchase securities from a securities firm or similar entity, the recipient’s gift tax will be exempted for the portion of the value of such trust beneficiary rights or cash and other assets equivalent to up to 15 million yen, provided that a “Declaration of Tax Exemption for Educational Funds” is submitted through the business office of the handling financial institution.
This particular provision cannot be applied to transactions occurring on or after April 1, Reiwa 8. However, for trust beneficiary rights or money, etc., for which this special provision was applied by March 31, Reiwa 8, this special provision will continue to apply.