MOF Achieves Remarkable Outcomes in Promoting Tax and Customs Agreements in 2026 to Advance Fiscal Diplomacy

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The Ministry of Finance (MOF) actively promotes international fiscal exchanges and strengthens bilateral cooperation with partner countries to enhance Taiwan’s global participation and safeguard the rights and interests of its citizens and enterprises. In 2026, the MOF, in collaboration with relevant agencies, engaged in productive exchanges in taxation and customs with countries including the United States, Singapore, Tuvalu, and the Kingdom of Eswatini. By actively interacting with foreign fiscal officials, the MOF explored various opportunities for international fiscal cooperation, yielding fruitful results.

The MOF further elaborated on key areas of cooperation as follows:

Continuously Expanding the Network of Avoidance of Double Taxation Agreement (ADTA)
The MOF is committed to expanding its ADTA network, with 36 ADTAs currently in force.

Taiwan-Singapore ADTA: The revised Taiwan-Singapore ADTA entered into force on February 13, 2026 (replacing the original agreement signed in 1981) and will apply starting January 1, 2027. It provides appropriate tax relief measures better aligned with the current international tax environment and bilateral economic and trade development.

Taiwan-Tuvalu ADTA: Signed with diplomatic ally Tuvalu, this agreement entered into force on June 11, 2026, and will also apply from January 1, 2027, contributing to deeper diplomatic ties and regional development cooperation across the Asia-Pacific.

Taiwan-U.S. Tax Relief Mechanism: While awaiting the completion of relevant legislative processes in the U.S. Congress, the finance authorities of both sides continue discussions on reciprocal tax relief mechanisms to facilitate the prompt implementation of mutually agreed tax relief benefits once the legislation is enacted.

Conducting Mutual Agreement Procedure (MAP) Consultations to Protect Taxpayers’ Rights
When applying effective tax agreements, taxpayers facing double taxation risks due to cross-border tax disputes may request consultations between the competent authorities of both sides under the "Mutual Agreement Procedure" provisions. Between January 1, 2025, and June 30, 2026, the MOF held eight rounds of in-person and virtual consultation meetings with four agreement partners. Consensus was successfully reached on five Bilateral Advance Pricing Arrangement (BAPA) cases, which are currently undergoing signing procedures. These efforts effectively assist taxpayers in preventing or resolving cross-border income tax disputes and enhancing tax certainty.
Enacting the Taiwan-Eswatini Customs Mutual Assistance Agreement (CMAA)
Witnessed by the heads of state of both nations, Taiwan and the Kingdom of Eswatini officially signed the "Taiwan-Eswatini Customs Mutual Assistance Agreement" on May 2, 2026, which took effect on the same day. Through the exchange of information and enforcement expertise, customs authorities from both sides will effectively combat cross-border fraud, protect trade security, and streamline customs clearance.
Exchanging Fiscal Policy Insights with International Counterparts and Organizations
From January to August 2026, the MOF hosted approximately ten exchange sessions on fiscal policies with foreign delegations. Notably, an in-depth dialogue was held with economists from the Asian Development Bank (ADB) to share Taiwan’s policy concepts regarding fiscal resilience. Through comprehensive exchanges with foreign fiscal officials and experts from international organizations on key policies and operational affairs, the MOF has fostered friendly and cooperative international relationships.

The MOF stated that it will continue to work with close economic and trade partners as well as like-minded nations to promote ADTAs, enhance customs cooperation, and resolve cross-border taxation disputes. The Ministry remains dedicated to fostering a fair, friendly tax environment and facilitating international trade, while expanding fiscal diplomacy to protect the rights and interests of Taiwanese individuals and businesses.

Reference URL：https://www.mof.gov.tw/Eng/singlehtml/f48d641f159a4866b1d31c0916fbcc71?cntId=f6857bbb6d684443851733297401bcf0