Doing Business in Taiwan FAQ 在臺灣做生意常見問題

 Foreword: Please note that this is not a comprehensive list of questions. This is meant to only give a basic overview of Taiwan's business environment to those who have not yet been to there.

What is the corporate tax rate in Taiwan?
20% as of 2018.
 
What is the VAT rate in Taiwan?
5%.
 
What is the withholding tax rate in Taiwan?
Typically it is 20% for sending funds overseas. For tax treaties, please click here.
For other types of withholding tax (can be 0.1-15). For further information please consult with a tax adviser, such as Grant Thornton Taiwan.

What is the personal income tax like?
Please find our article on the subject here.
 
Are transfer pricing reports required in Taiwan?
Yes, if your group entity in Taiwan has made over 300 million NTD total annual revenue. For more information, consult with a tax advisory firm such as Grant Thornton Taiwan.
 
How do you start a Taiwan business/company?
Please see our article on the subject here. There is also a website and book about this subject here. You can also consult an accounting or law firm such as Grant Thornton Taiwan for a price quote on their company setup services.

How much does it cost to start a company in Taiwan?
As much as you need to cover operating costs. If you need to hire foreigners, your paid in capital should be over 5 million NT.
 
How do you hire foreigners in Taiwan?
You need to have a company with starting capital of 5 million NT or more.
 
What business licenses are required in Taiwan?
This depends on the business. For food related products and medicine, Taiwan FDA approval is required.
 
How do I get FDA approval in Taiwan?
You should consult with a law firm for help on this.
 
Is a corporate secretary required in Taiwan?
No.
 
Is bookkeeping/payroll required in Taiwan?
Yes. You can use service from a local accounting firm or other provider such as Grant Thornton Taiwan.
 
What statutory requirements are there in Taiwan?
Labor insurance, health insurance, and pension.
 
What is the rate for overtime in Taiwan?
This is complicated, but it is at least time and a half for a weekday.
 
What are Taiwan labor standards?
Please see our article here on Taiwan’s Labor Standards Act.

Does Taiwan have a good talent/labor market?
Yes, there are many bilingual talented people here, and many are underemployed because of lack of opportunity.
 
How do I find talent in Taiwan?
The best way is to use your connections, but you can also try Taiwan work finding websites:

104: https://www.104.com.tw/
The most popular work finding website in Taiwan, although the interface is only in Chinese (sorry), job postings can be in English. Its worth checking out, even if you can’t read Chinese (perhaps you can have a Chinese friend help you out).
1111: https://www.1111.com.tw/
This is probably the second most popular work finding site in Taiwan, this websites interface is also only in Chinese, although some job postings are in English.
Tealit: http://www.tealit.com/ad_categories.php?section_id=29&subsection_id=3&content_mode=2&check_user=1&D2=29
This is a great English based website for English Teaching jobs in Taiwan.
Linkedin: https://www.linkedin.com/
Linkedin has Taiwan job opportunities that are mostly in English.
Other than these, search Google. Who knows what you’ll find.
 
What are the biggest companies in Taiwan?
Foxconn, TSMC and Pegatron, Quanta Computer, and Cathay Life Insurance are the biggest companies in Taiwan. Other companies include Acer, Asus, and HTC.

What is Taiwan's economic situation like?
Please see our economic FAQ here.

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Also, feel free to contact us with any specific questions about doing business in Taiwan.

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