Taiwan provides the list of low-tax jurisdictions under CFC rules
On 13 December 2022, the Ministry of Finance of Taiwan issued a press release providing the list of low-tax jurisdictions under controlled foreign company (CFC) rules. The CFC rules will be effective from 1 January 2023 for profit-making enterprises
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Taiwan: Executive Yuan approves draft amendments on R&D and equipment investment credits
On 17 November 2022, the Executive Yuan approved a draft amendment providing tax credit on R&D and equipment investment. The proposed amendments will now be submitted to the Legislative Yuan for deliberation and are hoped to be implemented at
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Taiwan: MOF exempts FINI on physical WHT statements
On 2 September 2022, the Ministry of Finance (MOF) of Taiwan issued a press release to provide an exemption for a Foreign Institutional Investor (FINI) in case of physical withholding tax (WHT) statements when applying for the reduced tax rate in
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Taiwan: MOF exempts provisional income tax payments from January to June 2022
Recently, the Ministry of Finance of Taiwan provides an exemption on provisional income tax payments for the period January to June 2022. The exemption is provided for provisional income tax returns in September 2022 for companies affected by the
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Taiwan extends tax deductions for smart machinery and 5G investment
On 26 July 2022, the Ministry of Finance of Taiwan announced that the smart machinery and 5G investment deductions will be extended to the end of 31 December 2024. Furthermore, investments in new information security products or services will be
See MoreTaiwan reduces the late payment surcharge from 1 January 2022
On 18 May 2022, the Ministry of Finance of Taiwan has announced that the late payment surcharge has been reduced to 1% for every 3 days, up to a maximum of 10%. Previously the rate was applicable to 1% for every 2 days, up to a maximum of 15%. If
See MoreTaiwan announces net profit rate reduction for companies affected by COVID-19
On 9 May 2022, the Ministry of Finance of Taiwan has announced that net profit rate is reduced for companies affected by the COVID-19 pandemic. The rate is reduced by 20% for companies which net operating income was reduced of at least 30% in 2021
See MoreTaiwan extends filing deadline for 2021 income tax return to 30 June 2022
On 4 May 2022, Taiwan’s Ministry of Finance (MOF) has extended the deadline for filing income tax return for the tax year 2021 from 31 May 2022 to 30 June 2022 due to the COVID-19 pandemic. The extension is applicable for both personal income tax
See MoreTaiwan: CFC rules will be effective from 2023
On 16 March 2022, Taiwan’s Ministry of Finance (MOF) issued a press release where it is stated that the controlled foreign company (CFC) rules will be effective from 1 January 2023 for individuals and 2023 taxable year for
See MoreTaiwan: MOF clarifies WHT rules on dividends for non-residents
On 2 March 2022, Taiwan’s Ministry of Finance (MOF) issued a press release clarifying withholding tax on dividends paid to non-residents companies. MOF clarifies the following issues through the press release: Dividends paid to non-resident
See MoreTaiwan: MOF reminds taxpayers for submitting MF and CbC report by December 31st
On 30 November 2021, Taiwan’s Ministry of Finance (MOF) has issued a press release as a reminder to the taxpayers for submitting Master Files (MF) and Country-by-Country (CbC) reports. The profit-seeking enterprises that meet the conditions
See MoreTaiwan: MOF explains about filing R&D expenditures as tax credit
On 11 November 2021, the National Taxation Bureau of Northern Area (NTBNA), Ministry of Finance (MOF) of Taiwan has issued a press release where it was stated that corporations filing Research & Development (R&D) expenditures as tax credits
See MoreTaiwan notifies affiliates of MNEs on submission of Master File and CbC report
On 9 November 2021, Taiwan’s National Tax Bureau of the Southern Area has indicated that affiliates of multinational enterprises in Taiwan, which meet the threshold to submit Master File or Country-by-Country (CbC) Report, shall not only disclose
See MoreTaiwan announces the amendments to the tax treaty rules and PE rules
On 12 August 2021, Taiwan’s Ministry of Finance has announced the amendments to the “Regulations Governing Application of Agreements for the Avoidance of Double Taxation with Respect to Taxes on Income”. The amended regulations have come into
See MoreTaiwan: MOF issues Decree on cross-border bilateral, multilateral APAs under MAP
On 24 June 2021, the Ministry of Finance issued a Decree which stipulates that when tax collection authorities negotiate cross-border bilateral or multilateral advance pricing arrangements (APAs) (hereinafter referred to as "BAPAs") with the
See MoreTaiwan: MOF amends transfer pricing provisions for profit-seeking enterprises
On 28 December 2020, Taiwan’s Ministry of Finance (MOF) has announced amendments to certain transfer pricing provisions based on chapter 8 to 10 of the OECD Transfer Pricing Guidelines for profit-seeking enterprises. The key amendments are
See MoreTaiwan: NTBSA issues press release on COVID-19 relief measure
On 3 November 2020, Minxiong Office, Taiwan’s National Taxation Bureau of the Southern Area (NTBSA), Ministry of Finance indicated that, in accordance with Article 9-1 of the Special Act for Prevention, Relief and Revitalization Measures for
See MoreTaiwan: NTBCA reminds profit-seeking enterprises to timely file tax returns
On 31 August 2020, Taiwan’s National Taxation Bureau of the Central Area (NTBCA) has issued a press release prescribing that profit-seeking enterprises should file annual income tax returns within the prescribed period to avoid delinquent
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