Regarding the issue of the tax rate for buying a property with a non-Taiwan identity, and the difference between the tax rate for buying a property after acquiring the status of Taiwan identity
The comparison table between 1.0 and 2.0 of Property and Land combined tax | ||||||
Applicable Tax Rate | Taiwan Identity - Individual | Taiwan Identity - Company | Non-Taiwan Identity - Individual/Company | |||
Version 1.0 | Version 2.0 | Version 1.0 | Version 2.0 | Version 1.0 | Version 2.0 | |
45% | Within 1 year | Within 2 years | No specify | Within 2 years | Within 1 year | Within 2 years |
35% | Over 1 year but below 2 years | Over 2 years but below 5 years | No specify | Over 2 years but below 5 years | Over 1 year | Over 2 years |
20% | Over 2 years but below 10 years | Over 5 years but below 10 years | All Cases | Over 5 years | None | None |
Applicable Subjects : Individuals living in Taiwan and company headquarters are doing business in Taiwan and secured property after 1 Jan 2016
Table prepared by report NG Kwai Yung Source of Information: Ministry of Finance | ||||||
Version 2.0 will be implemented on July 1, 2021
① Is the tax rate of 20-45% regardless of the property price?
Yes, it is.
② What does it mean that foreigners/companies do not need to pay taxes in the 20% column?
"None" means that foreigners do not have the opportunity to apply 20%. If it is an ordinary individual, it will be sold only one year after the purchase, which is 35%. Whether it is sold for two years or 15 years, it is 35 %.
Q2. Hong Kong applicants have obtained Taiwan status and have paid taxes in Hong Kong in that year. Do they still have to declare and pay taxes in Taiwan in that year?
Answer: If you have a Taiwan ID card, unless it can be proved that the focus of life is not in Taiwan (the objective standard is probably that there is no health insurance in Taiwan), your global income will be taxed, but overseas (such as Hong Kong) income is 6.7 million Taiwan dollars deductible. If tax is still payable after deduction, the amount of overseas income that has been taxed in the country of origin can be used for tax deduction in Taiwan
