Case Studies
Taiwan Tax & Accounting Case Studies
Good Earth CPA provides accounting, taxation and business advisory services to foreign investors and international businesses operating in Taiwan.
The following case studies examine selected tax and accounting issues that can arise when businesses operate in Taiwan or conduct business between Taiwan and other countries. Each case study focuses on a specific practical issue and provides further information about the relevant Taiwan tax and compliance considerations.
Taiwan Income Tax Act Article 25
Tax Treatment for Certain Income Earned in Taiwan
Taiwan’s Income Tax Act provides specific tax treatment for certain types of income earned in Taiwan by foreign companies and other non-resident entities.
This case study examines Article 25 of Taiwan’s Income Tax Act and the circumstances in which a 3% or 2.55% withholding tax rate may apply to qualifying income.
Offshore Parent Company Expense Allocation
Can Expenses Allocated by a Foreign Parent Company Be Deducted in Taiwan?
International businesses may allocate certain expenses incurred by an overseas parent company to their Taiwan subsidiary or other Taiwan operations.
This case study examines the tax deductibility of expenses allocated by an offshore parent company and the considerations that businesses should take into account when determining whether such expenses can be deducted for Taiwan tax purposes.
Read the Offshore Parent Company Expense Allocation Case Study
Taiwan 0% VAT
When Can Services Provided in Taiwan Qualify for 0% VAT?
Taiwan’s VAT system provides for a 0% VAT rate in certain circumstances involving exported services or services provided in Taiwan but used in a foreign country.
This case study examines the circumstances in which services may qualify for zero-rated VAT treatment and the relevant considerations for businesses providing services to customers outside Taiwan.
Taiwan Transfer Pricing Reports
Common Errors in Transfer Pricing Documentation
Businesses operating in Taiwan may have transfer pricing documentation and reporting requirements when conducting transactions with related parties.
This case study examines common errors in the preparation of Taiwan transfer pricing reports and highlights important considerations for businesses preparing transfer pricing documentation.
These case studies illustrate selected issues that Good Earth CPA encounters in Taiwan tax and accounting practice. The detailed pages provide further information about each topic and are intended to help businesses understand the relevant considerations.
Good Earth CPA assists foreign investors and international businesses with Taiwan accounting, taxation, company formation and ongoing corporate compliance.