Taiwan has extended the deadline for eligible foreign taxpayers to claim refunds of over-withheld tax under a Double Taxation Agreement (DTA) from five years to 10 years, while introducing transitional rules and confirming that treaty-specific filing deadlines will continue to take precedence where applicable.
Taiwan’s National Taxation Bureau of Kaohsiung has reminded foreign taxpayers to review unclaimed tax treaty benefits following amendments to the Regulations Governing Application of Agreements for the Avoidance of Double Taxation with Respect to Taxes on Income (DTA Audit Rules), which extended the period for applying for refunds of over-withheld tax under Double Taxation Agreements (DTAs).
The reminder was issued on 27 July 2026, and refers to amendments to Article 34 of the DTA Audit Rules promulgated by the Ministry of Finance on 8 April 2025. The amendments took effect on 10 April 2025 and increased the deadline for applying to the tax collection authority for a refund of over-withheld tax on R.O.C.-sourced income derived by a resident of another Contracting State from five years to 10 years from the date of the original tax payment.
Under the amended Article 34, a resident of another Contracting State that derives R.O.C.-sourced income but did not claim DTA relief at the time of withholding may apply for relief within 10 years from the date of the original tax payment. Where a refund of over-withheld tax under a DTA is approved, the tax collection authority will refund the over-withheld tax accordingly.
The amendments also introduced transitional provisions. Applications for which the original five-year period had already expired by the effective date of 10 April 2025 are not eligible for the extended deadline. However, where the five-year period had not expired when the amendments took effect, taxpayers may benefit from the new 10-year application period.
The Bureau cited the example of Company B, whose original five-year application period was still running on 10 April 2025. As a result, the amended provisions apply and the company may submit its refund application within 10 years from the date of the original tax payment, with a filing deadline of 14 April 2030.
The amendments also clarify that where a Double Taxation Agreement contains its own provisions governing refund applications, those treaty provisions take precedence over the domestic rules. As an example, the Bureau noted that residents of Germany must continue to submit applications no later than the end of the fourth calendar year following the year in which withholding tax was levied, meaning the domestic 10-year extension does not apply.
The Bureau urged foreign taxpayers with similar transactions to review past contracts to determine whether DTA relief was available but not claimed. Eligible taxpayers should submit an application form, contracts with Chinese translations, a certificate of residence and income-related supporting documents issued by the tax authority of the other Contracting State. Where an application is submitted through an agent, the original power of attorney must also be provided.
