This research took Taiwan's yearly data from 1976 to 2014 for an empirical analysis of the long-term and short-term relationship of income distribution, trade dependence, and owner-occupied housing with household transfer incomes. To begin with, the Johansen cointegration test and the Vector Error Correction Model (VECM) were used for the empirical estimation, which result showed that there existed a long-term equilibrium relationship among the Gini coefficient, trade dependence, owner-occupied housing ratio and transfer incomes. Furthermore, the causality test showed the Gini coefficient and trade dependence had unidirectional causality with owner-occupied housing; while the causality between owner-occupied housing and transfer incomes is bidirectional. Based on the empirical results, this research suggest that the government should look into the upgrade and transformation of trade-impaired industries and set up strategies to structurally renovate capital concentration, and solidly implement social welfare practices in order to avoid deterioration of income distribution gap.