After the end of WWII, he taught at the Department of Fine Arts of NTNU. His teaching style was open and tolerant, respecting individualism, and he encouraged students to try different possibilities. After his retirement from NTNU in 1973, he taught part-time until his death in 1976.

His early works were in the style of Japanese Pleinairism. Later Liao was influenced by French Impressionism, Fauvism and abstract art. American Abstract Expressionism made a huge impact and changed his entire style so that his works became more autonomous and mature. In his later years Liao incorporated the subjectivity gained from the Abstract style. Not only did this reveal the uniqueness of Taiwan's countryside, it also achieved a perfect harmony of life and art. The bright and vibrant colors of his works still inspire amazement in the Taiwan art scene today. He had been called the "Color Magician".

He has judged at many of the Provincial Fine Arts Exhibitions, was founder of the Tai-Yang Art Exhibition and the judge of the Western art section. Liao was also invited by the Department of State to go on an official visit to the U.S. in 1962.