Taiwan Company Tax Filing is one of Tannet's follow-up services for Taiwan business incorporation. The filing of an annual return by a company is a legal requirement under the companies Act. An updated annual return is important since it is the most recent and accurate reflection of the company's state of affairs, i.e. officers, shareholdings and any indebtedness of the company are required to be registered with the companies registrar.
In Taiwan, all completed tax returns must be submitted between 1 May and 31 May of the year following that for which the tax is due. Late filing of a tax return results in interest being charged on the total amount owed. Penalties are charged for failing to file a tax return. Residents intending to leave the country and not return within the same year should file their income tax return a week prior to departing.
The following documents need to be submitted as part of the tax return process:
Copy of passport;
Alien Resident Card;
A tax withholding statement;
Dividend statement;
Certificate of any earnings paid overseas for services in Taiwan;
Evidence of any deductions or special qualifications being applied for.
People should submit their completed tax return to the local tax office with jurisdiction over their place of residence, as given on their Alien Residence Certificate.
Non-residents who have had additional sources of income from which tax has not been automatically withheld by an employer (for example: property income, mortgage income, occasional trade) must declare the income and pay the appropriate tax before leaving the country.
By default, the tax year for all individuals and profit-seeking enterprises follows the calendar year. Income tax returns are due by May 31 of the following year, with no extension of time allowed. Taxpayers, including foreigners, are able to complete and file their tax return electronically through software provided by the local taxing authority. All profit-seeking businesses in Taiwan are subject to the Profit-Seeking Enterprise Income Tax. Sole proprietors and partners must file a return. However, their portion of the taxable income is reported on their individual income tax return.
Annual Income Tax Return Filing of Taiwan Business Agents
The National Taxation Bureau of Taipei, Ministry of Finance (NTBT) have expressed that, according to Paragraph 2, Article 10 of the Income Tax Act, a ROC profit-seeking enterprise, which serves as the business agent of a foreign profit-seeking enterprise with no permanent establishment within the territory of ROC, shall notice the regulation in the Letter of Ministry of Finance, Taiwan Taxation No. 30916 dated 30 January 1980: In case of a foreign profit-seeking enterprise, which has no branch within the territory of ROC, entrusts a ROC profit-seeking enterprise as the business agent; that business agent is not required to apply for business registration. Instead, it shall report that situation to the local tax collection authority.
In addition, in accordance with the Income Tax Act, the business agent shall be responsible for filing income tax return and paying the income tax to the local tax collection authority for the foreign profit-seeking enterprise. It is not required to apply for business registration and getting another business registration numbers for that matter.
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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