The island of Taiwan lies some 180 kilometers off the southeastern coast of mainland China, which lies across the Taiwan Strait, and has an area of 35,883 km2 . The East China Sea lies to the north, the Philippine Sea to the east, the Bashi Channel of the Luzon Strait directly to the south, and the South China Sea to the southwest. It is the center of the West Pacific Waterway and an important transportation hub for the the Pacific region.
The relations between Taiwan and mainland have become increasingly close, and cross-strait economic and trade exchanges have become increasingly frequent, especially the signing of the cross-strait economic cooperation framework agreement (ECFA), greatly promoting the investor's confidence in Taiwan's investment.
At present, many people love to use Taiwan products. Producing Taiwan goods by registering Taiwanese companies has a certain competitiveness in the market. The tax model in Taiwan is simple. There are tax concessions for export by Taiwan government. Besides, offshore operations are available here.
I. Company Name
The name and business of Taiwan company shall be approved by Taiwan Ministry of Economic Affairs before registration, and shall retain a certain period of time. The name shall include the type of the company and shall not use the name associated with the government agency or the public interest group. Please select 3-5 company name to verify. The company name shall end in Chinese traditional "limited company". Same or similar name are prohibited.
II. Registration Types
(1) Representative Office: refers to the contact point established in Taiwan in the name of the company, which cannot engage in commercial activities, but only represent the head office to do business liaison activities.
(2) Branch: refers to set up branches in Taiwan in the name of the company, which can engage in commercial activities, sign contracts and issue bills independently.
(3) Subsidiary: refers to companies set up by the natural persons or legal persons in Taiwan for the purpose of investment, which can be listed in the name of subsidiaries and are able to buy buildings.
III. Registered Capital
The amount of the registered capital of the company determines the responsibilities the shareholders shall bear. The shareholders can determine the registered capital on the basis of the actual needs of the company. If it is a person or enterprise from mainland China that invests in Taiwan and need to appoint Chinese mainland personnel come to Taiwan to manage the company, the general registered capital is USD200,000 (can apply for a visa). If no Taiwanes is needed when registration, the increase of the registered capital contains no stamp duty.
IV. Shareholders and Directors
Those who have identity documents and is at least 18 years old can be chose as the shareholder or director. There shall be at least one shareholder, and shareholders and directors can be the same person. Both natural person or legal person can hold the post. There is no nationality restrictions (the person in charge must have Exit & Entry Permit (Taiwan, Republic of China).
V. Registered Address
The company registered in Taiwan is a local entity company, which needs physical operating. The registered address shall be located in Taiwan and shall have office and staff. If necessary, Tannet can provide assistance, the cost is RMB1,800 per month.
VI. Business Scope
The business scope of Taiwan companies is more lenient. When registering, the scope of business shall be informed. All industries can be engaged in except the special industries, such as real estate, communications, advertising, finance and so on. Companies with the shareholders being the mainland companies are known as mainland capital-funded enterprises, which can only engage in the business within the scope of permission.
VII. Required Materials
The name of the company in Chinese traditional character; the proportion of the shares of the shareholders; shareholder’s qualification and identity documents; company operating plan; authorization for mainland capital-funded shareholders applying for the agent; capital deposit certificate; directors and shareholders’ consent; identity documents of the sponsor and the copy of the identity certificate of the manager; capital verification documents of the accountant; property owner's consent or lease; company chop and the personal chop of each shareholder.
VIII. Registration Procedures
Fill in the engagement letter or sign the agreement → payment → name check by Taiwan Economic Department → investment application → bank account opening and money transferring → capital verification → accountant verification → company registration → delivery in 60-70 working days → filing.
IX. Bank Account Opening
You can go to the Taipei Fubon Bank, Citibank, China Trust Bank, Zhaofeng Bank, HSBC, Bank of Taiwan, Standard Chartered Bank, Wing Fung Bank and Yushan Bank to open an account. If you want to open an account in China, you can apply for in HSBC and Cooperative Treasury Bank.
X. Accounting and Tax Filing
The annual inspection is before May 31 every year and the tax declaration is before the 5th day of each month.
XI. Why Choose Tannet
Tannet had an abundant experiences (over 10 years) with company or business set up and also with a healthy co-operative platform between SMEs,Tannet can provide you all direction services which can help you to extend your international business worldwide.
XII. Contact Us
If you have further inquiries, please do not hesitate to contact Tannet at anytime, anywhere by simply visiting Tannet’s website english.tannet-group.com, or calling Shenzhen hotline at 86-755-82143422 or Hong Kong hotline at 852-27826888, or emailing to tannet-solution@hotmail.com. You are also welcome to visit our office situated in 16/F, Taiyangdao Bldg 2020,Dongmen Rd South, Luohu, Shenzhen, China.
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