Foreigners who file income tax in Taiwan should pay attention to two points
National Taxation Bureau of Kaohsiung expressed that, with May tax filing season approaching, foreigners who have income from sources in the Republic of China (R.O.C.) should file income tax in 2022 based on their “length of residence” and “income from sources in the R.O.C.”
The Bureau explained that, for foreigners who reside in the R.O.C., the computation of their length of residence is based on the dates on the passport or the “Certificate of Entry and Exit Dates” issued by the National Immigration Agency, Ministry of the Interior. For those who have entered and existed the country a number of times within a taxable year, the period of residence should be the total number of accumulated days. Details are as follows:
1. An individual who stays in the R.O.C. for 183 days or longer within a taxable year
For an individual who is regarded as a resident, his/her income tax shall be declared and assessed by a progressive rate on the amount of his/her net consolidated income (taxable income) which shall be the annual gross consolidated income (including the various incomes derived within the R.O.C. and the remunerations derived outside the R.O.C. for services rendered in the R.O.C.) minus the exemptions, deductions, and basic living expense difference.
2. An individual who stays in the R.O.C. over 90 days but less than 183 days within a taxable year
For an individual who is regarded as a non-resident, his/her income derived from sources in the R.O.C. shall be withheld according to the withholding rate and paid at the respective sources. The taxpayer needs not file an income tax return. However, if an individual has income derived outside the R.O.C. for services rendered in the R.O.C. or has income which does not fall within the withholding scope (for example, property transaction, occasional trade, interest from mortgages, etc.), he/she should declare and pay tax according to the withholding rates.
3. An individual who stays in the R.O.C. not more than 90 days within a taxable year
For an individual who is regarded as a non-resident, his/her income derived from sources in the R.O.C. shall be withheld according to the withholding rate and paid at the respective sources. The taxpayer needs not file an income tax return. If an individual has income which does not fall within the withholding scope, he/she should declare and pay tax in accordance with the withholding rate. However, the income tax shall be exempted for income derived from employer(s) outside the R.O.C.
The Bureau would like to remind foreign residents whose employers already withheld income tax and filed a withholding statement, they are still required to file an income tax return for a tax refund. They can get assessed for tax refund by the National Taxation Bureau.
If you have any questions related to the filing of Individual Income Tax, feel free to dial the toll-free service number 0800-000-321, or go to the Bureau's website (https://www.ntbk.gov.tw) to make an online inquiry through the "National Tax Assistant" of the national tax smart customer service.
Provided by:First Individual Income Tax Section
Contact person:Ms. Lee
Phone number:(07)7256600 ext.7226
Reference URL：https://www.mof.gov.tw/Eng/singlehtml/f48d641f159a4866b1d31c0916fbcc71?cntId=e1fecf037f964f138f16dcece38a006a