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The Controlled Foreign Company (CFC) Rules were officially implemented in 2023. If a profit-seeking enterprise holds shares or capital of a foreign company that satisfies the definition of a CFC and the CFC does not qualify for the exemption threshold, it must recognize the CFC’s investment income in accordance with Article 43-3 of the Income Tax Act and include it in the current year’s taxable income.

The National Taxation Bureau of the Southern Area, Ministry of Finance stated that, according to Article 38 of the Income Tax Act and Articles 62 and 103 of the Regulations Governing Assessment of Profit-seeking Enterprise Income Tax, other losses filed by profit-seeking enterprises shall be attached with legal certificates and be related to their operation of business or subsidiary business, so as to be considered as expenses or losses of profit-seeking enterprises.

The National Taxation Bureau of the Central Area, Ministry of Finance expressed that to prevent any multinational enterprise from establishing a controlled foreign company (CFC) with no substantial operating activities in a low-tax country or jurisdiction to influence the CFC’s profit distribution policy and retain earnings in the CFC through equity control or substantial control for tax avoidance in our country, Article 43-3 of the Income Tax Act (hereinafter referred to as ”the Act”) was promulgated on July 27, 2016 to set the CFC rules for enterprises, and was designated by the Executive Yuan to be enforced from the 2023 taxable year for enterprises.

The Mincyuan Office, National Taxation Bureau of the Central Area, Ministry of Finance stated that when a couple file a joint income tax return, and one spouse is a citizen of the Republic of China (R.O.C.) while the other is a foreign resident, the place of filing depends on the nationality of the designated taxpayer.

For taxpayers who have selected to make tax payment by designated account transfer for the 2024 individual income tax return, the withdrawal process will start from 00:00 a.m. on July 10, 2025, according to the National Taxation Bureau of Taipei, Ministry of Finance. Please ensure that you have sufficient funds in said designated account for withdrawal before July 9, 2025.

The National Taxation Bureau of Taipei, Ministry of Finance, stated that profit-seeking enterprises undertaking controlled transactions in 2024 shall prepare a transfer pricing report when filing their 2024 profit-seeking enterprise income tax return in accordance with Paragraph 1, Article 22 of the Regulations Governing Assessment of Profit-Seeking Enterprise Income Tax on Non-Arm's-Length Transfer Pricing (hereinafter referred to as “the Regulations”).

In response to the impact of the United States’“Reciprocal Tariffs” policy on various industries, the National Taxation Bureau of Kaohsiung （hereinafter referred to as “the Bureau”) announces that taxpayers who are unable to pay the full amount of tax in a single payment during the income tax return filing period（May 1 to June 30, 2025） may apply to the tax collection authority for an interest-free extension or installment plan.

According to the National Taxation Bureau of Taipei, Ministry of Finance, the filing season for the 2024 Alien Individual Income Tax Return will begin on May 1, 2025. The Bureau advises all foreign taxpayers to prepare the necessary documentation to ensure timely compliance with their tax obligations.

The National Taxation Bureau of Taipei, Ministry of Finance states that to enhance Taiwan's competitiveness in the global talent market and continue attracting foreign specialist professionals to contribute to Taiwan's development, Article 20 of the Act for the Recruitment and Employment of Foreign Professionals stipulates that if foreign specialist professionals required by various fields in Taiwan, as announced by the central competent authorities (hereinafter referred to as “foreign specialist professionals”), meet certain conditions and are approved to come to work in Taiwan for the first time, then for five years counting from the tax year in which they first meet the conditions of residing in Taiwan for 183 full days of the year and having a salary income of more than 3 million NT dollars, half of the part of their salary income above 3 million NT dollars will be excluded from the assessment of individual income tax.

The Taxation Administration has announced that the statutory payment period for the house tax in 2025 is from May 1, 2025 to May 31, 2025, and the deadline shall be extended to June 2 due to the last day of the payment period falling on a holiday. Taxpayers are reminded to complete payment within the given timeframe.

The Changhua Branch, National Taxation Bureau of the Central Area , ministry of Finance, states that alien individuals with income sourced from the Republic of China (R.O.C) in 2024 who reside (stay) in the R.O.C for a total of more than 183 days within the year should file an alien individual income tax return.

The National Taxation Bureau of Taipei, Ministry of Finance, stated that investment losses incurred by profit-seeking enterprises from the bankruptcies of invested businesses should be recognized on the date of the court’s bankruptcy adjudication...