[Taxation] Advance Tax Ruling

Advance Tax Ruling applicable for transnational transaction or investment is formulated in order to enhance consistency and certainty in the application of tax laws, reduce controversy and litigation between tax authorities and taxpayers, and encourage compliance with the tax laws. The term “advance tax rulings” means an interpretation or clarification issued by the Ministry of Finance (MOF) with respect to the request of a taxpayer or his representative (applicant), concerning the application of tax laws to a specific contemplated transaction which will be undertaken within one year. Advance Tax Rulings Committee is responsible for advance tax ruling cases. Advance tax rulings are provided on international transactions or investments which meet one of the following conditions: a) The total amount of the investment exceeds NT$ 200,000,000, or the amount of the first transaction exceeds NT$ 50,000,000. b) The proposed transaction will bring significant economic benefit to the R.O.C.