Taiwan’s Ministry of Finance (MoF) has stated that, the withholding tax rate on dividends paid to nonresidents is increased from 20% to 21%. The withholding tax rate effects from 1st January 2018. Ministry of Finance further said that this standard amendment to increase foreign investment dividends or surpluses allocated 1% point, the tax burden on domestic and foreign shareholders tends to be balanced, after adjustment with other countries.
Related Posts
Taiwan clarifies only full-time personnel qualify as eligible expenditure for R&D tax credit
March 19, 2026
Taiwan’s Ministry of Finance issued a notice on 16 March 2026, clarifying that only full-time personnel fully dedicated to R&D activities qualify as eligible expenditure for investment tax credits. To advance industrial innovation and
Read More
Taiwan: MoF clarifies penalties for CFC based salary concealment
March 18, 2026
Taiwan’s Ministry of Finance (MoF) has released a notice 16 March 2026, outlining penalties for cases where employee salary income in Taiwan is concealed through Controlled Foreign Corporations (CFCs) that have no substantive operations. To
Read MoreTaiwan: Northern Tax Bureau issues reminder on CFC rules
March 12, 2026
Taiwan’s Northern District National Taxation Bureau has issued a reminder to businesses regarding the Controlled Foreign Company (CFC) rules, which came into effect in 2023. The rules were introduced to prevent multinational enterprises from
Read MoreTaiwan clarifies tax treatment of enterprises overseas income from foreign financial products
March 12, 2026
Taiwan’s Northern District National Taxation Bureau of the Ministry of Finance clarified today, 12 March 2026, that income derived by profit-seeking enterprises from investments in foreign financial products constitutes overseas income. Such
Read More
Taiwan: MoF explains withholding tax on non-resident dividends
March 11, 2026
Taiwan’s National Taxation Bureau of the Northern Area (NTBNA) under the Ministry of Finance, issued a notice on 10 March 2026 indicating that, where dividends are distributed by a company to an individual not residing in China or profit-seeking
Read MoreTaiwan introduces enhanced SME tax deductions for hiring, salary increases
March 11, 2026
Taiwan’s Central District National Taxation Bureau of the Ministry of Finance announced that, effective 1 January 2024, small and medium-sized enterprises (SMEs) that hire at least two additional domestic grassroots employees aged 24 or below, or
Read More