Taiwan

Overview

Last reviewed - 15 July 2020

Taiwan is located off the southeastern coast of mainland China in the Western Pacific Ocean. Taiwan's capital city is Taipei. The official language is Mandarin Chinese, and the currency is the new Taiwan dollar (TWD).

Taiwan's unsettled relationship with China has long been a major cause of political uncertainty and an economic impediment, as it is not recognised by most of the world as a sovereign entity separate from China. In late June 2010, the two sides signed a landmark trade deal, formally known as the Economic Cooperation Framework Agreement (ECFA), which aims to reduce tariffs on a range of goods and services across the Taiwan Strait. The ECFA marks a major step towards the normalisation of economic ties between Taiwan and China, its largest trading partner. This has been followed by the signing of the Cross-strait Taxation Agreement on 25 August 2015, with the primary aim to avoid double taxation, which is yet to be ratified by the competent authorities of China and Taiwan.

PwC Taiwan has more than 2,800 highly qualified and experienced professionals, which, together with the resources of our strong global network, allow us to provide support to our clients' needs.

Quick rates and dates

Corporate income tax (CIT) rates
Headline CIT rate (%)

20

Corporate income tax (CIT) due dates
CIT return due date

No later than the fifth month after the end of the tax year.

CIT final payment due date

No later than the fifth month after the end of the tax year.

CIT estimated payment due dates

CIT estimated payment should be made in the ninth month of the enterprise’s fiscal year.

Personal income tax (PIT) rates
Headline PIT rate (%)

Residents: 40;

Non-residents:18

Personal income tax (PIT) due dates
PIT return due date

31 May

PIT final payment due date

31 May

PIT estimated payment due dates

NP

Value-added tax (VAT) rates
Standard VAT rate (%)

5% to general industries

Withholding tax (WHT) rates
WHT rates (%) (Div/Int/Roy)

Resident: NA / 10 / 10;

Non-resident: 21 / 15 or 20 / 20

Capital gains tax (CGT) rates
Corporate capital gains tax rate (%)

Capital gains are subject to the normal CIT rate.

Individual capital gains tax rate (%)

Capital gains are subject to the normal PIT rate.

Net wealth/worth tax rates
Headline net wealth/worth tax rate (%)

NA

Inheritance and gift tax rates
Inheritance tax rate (%)

10

Gift tax rate (%)

10

NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement)

NP stands for Not Provided (i.e. the information is not currently provided in this chart)

All information in this chart is up to date as of the 'Last reviewed' date on the corresponding territory Overview page. This chart has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this chart, and, to the extent permitted by law, PwC does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.