🇹🇼 Taiwan · Tax System
Corporate tax, VAT/GST, personal income tax, capital gains, and filing obligations.
Quick answer
Taiwan taxes residents on Taiwan-source income at progressive rates (with a separate alternative minimum tax on certain foreign income). You use your ID/tax number, employers withhold monthly, and the annual income tax return is filed in May; business tax (VAT) applies.
Taxes are administered by the Ministry of Finance and its National Taxation Bureaus. Companies pay profit-seeking enterprise income tax, and a business tax (VAT) applies to most goods and services.
- The profit-seeking enterprise (corporate) income tax rate is 20%.
- The business tax (VAT) standard rate is 5%.
- Filing and payment are handled online through the eTax portal.
Step-by-step
- 1
Determine your residency
You are a Taiwan tax resident if you have a registered domicile and stay, or spend 183 days or more in a year; residents are taxed at progressive rates, non-residents at a flat withholding rate.
- 2
Get a tax number
Use your national ID number, or for foreigners the Alien Resident Certificate (ARC)/tax number, to deal with the National Taxation Bureau.
- 3
Understand the taxes that apply
Identify individual income tax on Taiwan-source income (with the income basic tax / AMT on certain foreign income), business tax (VAT) for businesses, and labour/health insurance contributions.
- 4
Have tax withheld
Employers withhold monthly tax; non-residents are taxed by withholding at a flat rate.
- 5
File the annual return
File the annual individual income tax return in May for the previous year, reconciling withheld tax.
- 6
Pay, keep records and get advice
Pay or receive any difference, keep records, and get advice on the AMT on foreign income and residency days.
Checklist
- Residency determined (domicile / 183 days)
- Tax number (national ID or ARC)
- Applicable taxes identified (individual income tax + AMT on foreign income, business tax/VAT, labour/health insurance)
- Monthly withholding (flat rate for non-residents)
- Annual return filed in May
- Difference paid/received
- Records kept
- Advice on AMT / residency days
Official authorities
- Ministry of Finance
Tax authority — corporate tax, business tax (VAT).
Frequently asked questions
Is foreign income taxed in Taiwan?
Regular income tax is on Taiwan-source income, but certain overseas income can be caught by the income basic tax (alternative minimum tax) above a threshold.
Who is a Taiwan tax resident?
Someone with a registered domicile who regularly stays, or who is present 183 days or more in a year.
When is the annual return?
The individual income tax return is filed in May for the previous calendar year.
Official-information aggregation, not legal advice. Always verify on the authority's own site.