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	<title><![CDATA[News]]></title>
	<link><![CDATA[https://www.ntbna.gov.tw/eng]]></link>
	<description><![CDATA[財政部北區國稅局]]></description>
	<language><![CDATA[en-US]]></language>
	<pubdate>Fri, 03 Jul 2026 01:39:16 GMT</pubdate>
<item>
	<title><![CDATA[Relentless Pursuit of Tax Arrears! Where a Taxpayer’s Failure to Exercise the Right to Partition an Inherited Estate Obstructs Enforcement, the National Taxation Bureau May, by Law, Exercise Subrogation to Petition the Court for a Ruling on Partition.]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, Ministry of Finance, stated that to ensure the successful collection of tax revenue and maintain tax fairness, proactive recovery measures will be taken against taxpayers who fall into arrears and neglect their payment obligations.      The Bureau explained a case within its jurisdiction involving Mr. A, who owed over NT$6 million in Individual Income Tax. Since the payment remained outstanding 30 days after the deadline, the case was referred to the branch of the Administrative Enforcement Agency for compulsory execution. Upon investigation, it was discovered that Mr. A’s only seizable asset was a piece of land in New Taipei City. This land was inherited following his father's passing and is currently jointly owned by Mr. A and other heirs. Under current laws, the property cannot be auctioned or executed individually until the heirs reach a partition agreement or a court rules on the partition. Despite multiple notifications from the Bureau urging Mr. A to exercise his right to partition the estate, he remained idle. This inaction prevented the branch of the Administrative Enforcement Agency from auctioning his specific share, stalling the legal process. To protect the national tax claim, the Bureau invoked Paragraph 5, Article 24 of the Tax Collection Act and Article 1164 of the Civil Code. The Bureau filed a civil subrogation lawsuit on behalf of Mr. A, requesting the court to partition the estate. Following a final court judgment, the property status was converted from undivided co-ownership to divided co-ownership. Mr. A’s specific portion became an independent object for execution. The branch of the Administrative Enforcement Agency successfully proceeded with the auction, using the proceeds to offset his tax arrears.      The Bureau urges taxpayers to pay their taxes on time to avoid litigation and compulsory disposition of property resulting from failure to fulfill their obligations. For further inquiries, please contact the Bureau’s toll-free service line at 0800-000-321. The Bureau is pleased to provide detailed consultation services. 〔Contact person：Ms. Wang, Head, Collection and Information Management Division.; Tel：(03)3396789, ext. 1180〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=502816dac3044744983dc857781748bc]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 14 Jun 2026 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Starting from 2026, an annual exemption of $2,440,000 may be deducted from total amount of gift for each donor]]></title>
	<description><![CDATA[     National Taxation Bureau of the Northern Area （NTBNA）, Ministry of Finance, indicated that, starting from 2026, an annual exemption of NT$2.44 million may be deducted from total amount of gift for each donor.      NTBNA explains, regardless of the frequency of gifts, the total value of assets gifted or the number of recipients within the same year （1/1-12/31）, the donor’s tax remission amount is fixed at NT$2.44 million. A donor shall file a gift tax return with the competent tax authority within 30 days following the date of a gratuitous transfer to the extent of his or her donation(s) made during each taxable year in excess of the annual exemption, i.e., NT$2.44 million.      If you have any questions, please call the toll-free number 0800-000321. The Bureau will assign a professional to serve you. 〔Contact person：Ms. Kuo, Section Head of Individual Income, Estate and Gift Tax Division; Tel：(03)3396789, ext. 1460〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=3ab3663b963d4a33912236bd32f67c30]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 14 Jun 2026 16:00:00 GMT</pubDate>

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	<title><![CDATA[The zero-tax-rate applies to the sale of goods or services to foreign diplomatic missions in the R.O.C. and their personnel; the amount collected shall be exclusive of business tax.]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area (NTBNA), Ministry of Finance stated that, pursuant to Article 4 of the Tax Collection Act and the principle of reciprocity, foreign diplomatic missions in the R.O.C. and their personnel may purchase goods or services exempt from business tax by presenting the Business Tax Exemption Card (hereinafter referred to as the “Exemption Card”) issued by the Ministry of Foreign Affairs. When selling goods or services to the aforementioned foreign diplomatic missions in the R.O.C. and their personnel, business entities shall collect the payment based on the sales price after deducting the business tax, so as to create a friendly shopping environment.        The NTBNA further indicates that when selling goods or services to the aforementioned missions and their personnel, business entities shall examine the Business Tax Exemption Card issued by the Ministry of Foreign Affairs along with one of the following: Diplomatic Official Identification Card, International Organization Official Identification Card, or Foreign Organization Official Identification Card. The payment shall be collected based on the sales price after deducting the business tax, and a zero-tax-rate Government Uniform Invoice (GUI) shall be issued. The GUI shall name the said mission or personnel as the purchaser, and the Exemption Certificate Number on the Exemption Card must be noted in the “remarks” column. The purchaser who is responsible for the procurement or entitled to the tax exemption shall sign the invoice.      In an example provided by the NTBNA, in which Company A, a business entity within the jurisdiction of the R.O.C., sells an electronic product with a list price of NT$2,100 (the same currency applies hereinafter) to Consulate B. Company A shall collect NT$2,000 (after deducting the NT$100 business tax) and issue a zero-tax-rate Government Uniform Invoice (GUI) with a sales amount of NT$2,000. The purchaser column of the GUI shall specify the name of Consulate B, and the Exemption Certificate Number shall be noted in the “remarks” column, signed by the diplomat responsible for the procurement. When filing the business tax return, Company A may apply for the zero tax rate by simply filling out the “List of Sales Amount Entitled to Zero Tax Rate” and attaching a photocopy of the said GUI.      Should there be any further inquiries regarding the Business Tax regulations, please visit the National Taxation Smart Customer Service website (https://smart.nat.gov.tw) and use the “National Taxation Helper” for online inquiries, or call the toll-free service hot-line at 0800-000-321; the NTBNA is dedicated to serving you. 〔Contact person：Mr. Wang, Head, Sales Tax Division; Tel：(03)3396789, ext. 1250〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=9705e40f645e4d98a60ffddc24a6f644]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 14 Jun 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[When reporting deductions for losses from the preceding ten years, it should be noted that investment income in the loss year must first be applied to offset such losses.]]></title>
	<description><![CDATA[     The Taxation Bureau of the Northern Area, Ministry of Finance (NTBNA, MOF), stated that, as stipulated in Article 39 of the Income Tax Act, when profit-seeking enterprises deduct the verified losses of each of the former ten years from the current year’s net profit, the investment income of each such year that is not included in taxable income under Article 42 of the same Act shall first be applied to offset the verified losses of that year, and any remaining loss may thereafter be deducted from the current year’s net profit.      The Bureau recently reviewed Company A’s 2022 profit-seeking enterprise income tax return, in which the company reported a NT$10 million deduction for losses carried forward from the former ten years. Upon review, it was found that NT$4 million of non-taxable investment income in the loss year (2019) should have been applied first to offset the losses. Accordingly, the Bureau reassessed the case, allowing a deductible loss of NT$6 million and assessing additional tax. According to Article 100-2 of the Income Tax Act, from the day following the statutory deadline for filing the final return through the date of payment of the additional tax, interest shall be calculated on a daily basis and collected together with the additional tax assessed, commencing at the fixed interest rate for one-year time deposits of the postal savings system in effect in 2023.      The Bureau would like to remind enterprises to comply with the relevant regulations when reporting deductions for losses from the former ten years and to correctly calculate the amount of such deductible losses, so as to avoid over-deduction resulting in additional tax assessments and interest charges. If you have any questions, please visit the NTBNA website (https://www.ntbna.gov.tw) to learn about the relevant laws, or call the toll-free service number 0800-000321 for detailed consultation services. 〔Contact person：Mr. Zhang, Head, Profit-seeking Enterprise Income Tax Devision; Tel：(03)3396789, ext. 1320〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=171a93f74c8d4f5ea21458bc34aa558e]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Wed, 27 May 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[For itemized deductions of medical and maternity expenses in Individual Income Tax, the portion covered by insurance payments should be subtracted by the taxpayer when filing.]]></title>
	<description><![CDATA[     National Taxation Bureau of the Northern Area (NTBNA), Ministry of Finance, indicated that when taxpayers file individual income tax and claim itemized deductions for medical and maternity expenses incurred by themselves, their spouses, or dependents, any portion covered by insurance payments should be subtracted from the total expenses. Only the remaining balance after such subtraction may be claimed as a deduction.      NTBNA further explains that if a taxpayer elects to use itemized deductions and claims medical and maternity expenses for themselves, their spouse, or dependents, they must, pursuant to the proviso of Item 2-3, Subparagraph 2, Paragraph 1, Article 17 of the Income Tax Act, subtract the amount of insurance reimbursement received. The deduction should be reported based on the medical expenses remaining after the subtraction.      NTBNA provides the following example: Taxpayer Mr. A performed the filing of individual income tax for 2024 and claimed a deduction of NT$2 million for medical and maternity expenses. Out of this amount, NT$1.83 million was for the medical expenses of his spouse, Ms. B. Upon investigation, the Bureau found that Ms. B had received NT$1.43 million in insurance reimbursements for her medical expenses in 2024. According to the aforementioned Income Tax Act, the medical and maternity expense deduction Mr. A was entitled to claim for 2024 was NT$570,000 (= NT$2 million - NT$1.43 million in insurance payments). After recalculation, the Bureau issued a Notice for the Assessment of Individual Income Tax for an additional tax payment of NT$286,000 (= NT$1.43 million × 20% tax rate). Mr. A inquired about the reason for the additional tax, and after a detailed explanation from the Bureau, he paid the tax in full.      The Bureau would like to remind the public that for individual income tax cases where additional tax has been assessed, taxpayers will receive both a payment notice and a Notice for the Assessment of Individual Income Tax. On the last page of the Notice for the Assessment of Individual Income Tax, under the section “Reasons for Adjustment, Legal Basis, and Other Supplementary Matters,” there is a detailed explanation of the reasons for the additional tax, which the public may review on their own. If there are still any questions, please call the toll-free number 0800-000-321. The Bureau will assign a professional to provide a detailed explanation. 〔Contact person：Ms. Chiu, Section Head of Individual Income, Estate and Gift Tax Division.; Tel：(03)3396789, ext. 1430〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=40b6015f8efd43309359c84a3add45c6]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Wed, 27 May 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[Change in Calculation Method for the Collection Period in Cases with Deferred Execution During Administrative Remedies]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, Ministry of Finance, announced that effective June 25, 2025, for cases where taxpayers file administrative remedies regarding taxes or fines and execution is deferred according to law, the calculation of the collection period shall exclude the end date of the deferred execution period. The calculation endpoint, previously based on the due date of the supplemental tax payment notice issued by the taxation authority, is now changed to the date when the administrative remedy becomes final.      The Bureau explained that the tax collection period begins on the day following the due date for payment and lasts five years. If a taxpayer disagrees with an assessment, they may file an administrative remedy according to law. During this process, under Article 39 of the Tax Collection Act, compulsory execution may be deferred. However, under Paragraph 3, Article 23 of the same Act, the deferred execution period must be excluded from the collection period. In the past, the end of this period was calculated up to the due date of the supplemental payment notice. Following a ruling by the Supreme Administrative Court (2025, Ruling No. 1) on June 4, 2025, it was clarified that the deferred period under Article 39 refers specifically to the duration of the administrative remedy proceedings. Accordingly, the Ministry of Finance issued an interpretive order on June 25, 2025, stating that when calculating the collection period, the deferred execution period should be excluded up to the date the administrative remedy becomes final. For cases of this type, the impact on the collection period is estimated to be around one to two months per case. The Bureau has conducted a comprehensive review, and as of June 30, 2025, 24 cases have been recalculated under the new interpretation as exceeding the collection period. The Bureau has notified the administrative enforcement agencies to discontinue execution in those cases.      The Bureau would like to remind taxpayers that for cases where administrative remedies are filed and execution is deferred, the tax authority still has ten years after the collection period to execute collection. If, during that time, the tax authority discovers the taxpayer’s assets or income, or finds evidence of concealment or transfer of assets to evade payment, or deliberate noncompliance despite the ability to pay, it will actively cooperate with the Administrative Enforcement Agency to pursue collection, including measures such as seizure of assets or income, or applying to the court for custody. Taxpayers are urged not to take chances. For further inquiries, please contact the Bureau’s toll-free service line at 0800-000-321. The Bureau will be pleased to provide detailed consultation services. 〔Contact person：Ms. Hsu, Head, Collection and Information Management Division.; Tel：(03)3396789, ext. 1170〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=cdd3228d38b0493b9c6a34f5beb8ee41]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Wed, 27 May 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[Profit-Seeking Enterprises Should Pay Attention to Calculation of Adjustment Items When Reporting CFC Profits.]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, MOF, stated that it has strengthened audits of Controlled Foreign Corporation (CFC) cases for the year 2023 on profit-seeking enterprise income tax filings within its jurisdiction. The audits aim to verify whether the reported CFC met the requirement for substantive activities or the de minimis exemption threshold.      The Bureau provides the following example: Company A declared that it held 100% of the shares of a CFC, reporting the CFC’s annual profit of NT$1.5 million (calculated as net profit after tax of NT$60 million - NT$58.5 million in investment income derived from invested enterprise located in non-low-tax jurisdictions recognized under the equity method × 100% ownership). Since the reported profit was below the NT$7 million de minimis threshold, there was no need to calculate the investment income of the CFC. However, upon review of the financial statements of the CFC and its invested enterprise, the Bureau found that Company A had incorrectly reported investment income derived from invested enterprise of NT$58.5 million from the CFC’s financial statements. According to Article 6 of Regulation Governing Application of Recognizing Income from CFC for Profit-Seeking Enterprise, the investment income derived from invested enterprise was NT$10 million, which was the net profit (or losses) after tax and other comprehensive income (or loss) items included in the undistributed surplus earnings of the current year of the invested enterprise from the invested enterprise’s financial statements. Thus, the Bureau recalculated the CFC’s annual profit as NT$50 million (=net profit after tax of NT$60 million − NT$10 million in investment income derived from invested enterprise located in non-low-tax jurisdictions recognized under the equity method × 100% ownership). Because the CFC’s annual profit exceeded the NT$7 million de minimis threshold, the Bureau adjusted Company A’s investment income of CFC upward to NT$50 million.      The Bureau would like to especially remind profit-seeking enterprises that they may calculate a CFC’s investment income derived from invested enterprises located in non-low-tax jurisdictions recognized under the equity method base on the financial statements of those invested enterprises. If there are any questions, please visit the website of NTBNA (https://www.ntbna.gov.tw) to inquire about the relevant laws or call the toll-free service number 0800-000321 for detailed consultation services. News contact: Ms. Liu, Head, Profit-seeking Enterprise Income Tax Devision. Tel. No. 03-3396789, Ext. 1350]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=77c6c646dd2d4fcfb67a070f756ebe62]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 03 May 2026 16:00:00 GMT</pubDate>

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	<title><![CDATA[Taxpayers in Arrears May Use Third-Party Property as Collateral to Request the Lifting of Tax Safeguarding Measures]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, Ministry of Finance, stated that if a taxpayer has fallen behind on tax payments and is subject to tax safeguard measures imposed by the taxation authority in accordance with Article 24 of the Tax Collection Act, the taxpayer may, pursuant to Subparagraph 1 of Paragraph 2 and Subparagraph 2 of Paragraph 4 of the same Article, provide adequate collateral to the taxation authority and apply for the lifting of such tax safeguard measures.      The Bureau provides the following example: Mr. A owed a total of over NT$19 million in taxes and fines. His property was restricted from transfer or the establishment of other rights upon notification to the relevant authorities, and following referral for compulsory execution, the assets were auctioned by the local branch of the Administrative Enforcement Agency. After the Bureau reported the case to the Ministry of Finance, which in turn requested that the National Immigration Agency impose an exit restriction, Mr. A voluntarily applied to the local branch of the Administrative Enforcement Agency for installment payments. A third party, Mr. B, provided Property X and its associated land as collateral for the tax arrears. During this period, Mr. A made regular installment payments and actively submitted market value data for Property X. Upon review, the Bureau determined that the collateral was sufficient to fully secure the tax debt, and accordingly approved the cancellation of the prohibition registration on Mr. A’s property and lifted his exit restriction.      The Bureau further explained that, according to Article 5 of the Regulations Governing the Valuation and Certification of Collateral Accepted by Tax Collection Authorities, taxpayers may provide land or buildings with registered ownership that are easily marketable, free of ownership disputes, and sufficient to cover the full amount of the debt. Land and buildings are to be valued at 120% of their publicly announced current value. However, if the taxpayer can provide objective and fair market value data for the land or building that is verified by the taxation authority, such data may be used for valuation purposes. Examples include market prices published in newspapers or magazines, the weighted average transaction prices recorded among peers in each municipality or county (city), valuation reports by certified real estate appraisers, mortgage assessments made by banks, estimated selling prices based on data from major real estate agencies (after deducting commissions), and prices from court auctions or public property sales conducted by the National Property Administration. When multiple sources of market value data are available, the average value may be adopted as the market price. If the land or building has other rights that are established upon it, the value or amount of the secured debt must be deducted accordingly.      The Bureau would like to remind taxpayers that when taxes remain unpaid, their property may be subject to prohibition of disposition, and they may also face exit restrictions. Taxpayers who need to transfer such property or have plans to travel abroad may provide third-party property of equivalent value as collateral and apply for the cancellation of prohibition registration or the lifting of exit restrictions. For further information, taxpayers may visit the Bureau’s website to review relevant regulations or call the toll-free service hotline 0800-000321 for consultation. The Bureau is committed to providing comprehensive and detailed assistance. News contact: Ms. Wang, Head, Collection and Information Management Division. Tel. No.: (03) 3396789, Ext. 1180]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=d5a38a815b3d49e38724696570ae4022]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 03 May 2026 16:00:00 GMT</pubDate>

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	<title><![CDATA[Interest Income from Private Loans Must Be Declared by the Individual for Individual Income Tax Return Filing]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area（NTBNA）, Ministry of Finance, indicated that interest income received by individuals from loan relationships is classified as Interest Income under Category 4, Paragraph 1, Article 14 of the Income Tax Act. This income must be included in the total income of the year of actual receipt and filed under the individual income tax return.      The Bureau provides the following example：In March 2021, Mr. A lent NT$15 million（NTD, same below） to Mr. B for an agreed period of 3 years, with interest calculated at an annual rate of 3% and payable in a lump sum upon repayment. Mr. B repaid the principal of NT$15 million on schedule in March 2024 and paid Mr. A interest of NT$1.35 million as agreed. However, Mr. A failed to declare this interest income in his individual income tax return for the year 2024. The Bureau investigated the omission and assessed the under-declared tax amount, along with a penalty.      The Bureau further states that the interest paid on private fund loans is not within the scope of income requiring withholding and filing as prescribed by Article 88 of the Income Tax Act. As such, no withholding or non-withholding certificates are issued. Nevertheless, individuals must still file the individual income tax return for received interest. Furthermore, because this interest is not derived from a financial institution, it does not apply as the “Special deduction for savings and investment” under Subparagraph 2, Paragraph 1, Article 17 of the same Act, and therefore may not be deducted from the gross consolidated income.      The Bureau specifically emphasizes, for interest income obtained from private loans, if taxpayers under-declared or failed to pay income tax due to temporary oversight or unfamiliarity with legal provisions, they can be exempt from punishment. This applies if the taxpayer voluntarily files a supplementary tax declaration with the tax authorities and makes supplementary payment covering the tax amount plus interest, as long as it is neither a case brought about by an informant, nor a case under investigation by the tax authorities, pursuant to Article 48-1 of the Tax Collection Act. If there are any questions, please visit the official website at https://www.ntbna.gov.tw for relevant regulations or call the toll-free service number 0800-000321. 〔Contact person：Ms. Chung, Section Head of Individual Income, Estate and Gift Tax Division; Tel：（03）3396789, ext. 1420〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=e158b4bfd3b74050a9b98abfe59d2ace]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 03 May 2026 16:00:00 GMT</pubDate>

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	<title><![CDATA[Withholding regulations regarding companies distributing dividends to non-residents]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area (NTBNA), Ministry of Finance, indicates that, where dividends are distributed by a company to an individual not residing in the Republic of China or profit-seeking enterprise having its head office outside the Republic of China, the tax withholder involved shall withhold a tax payable at the time of payment of income according to the prescribed withholding rates or withholding regulations, and pay the tax withheld in accordance with the provisions of Article 92 of the Income Tax Act.      In addition, the NTBNA explains that, in cases where an individual not residing in the Republic of China or a profit-seeking enterprise without fixed place of business in the Republic of China is the recipient of the aforementioned dividends, the tax withholder shall make payment to the national treasury of all the taxes withheld, file the withholding tax statements, and issue them to the taxpayer concerned after submitting them to the competent tax authority for verification within ten days from the date of withholding. In the case that three national holidays occur in succession within ten days from the date of withholding, the period for the payment of all the taxes withheld, submission, and issuance of the withholding tax statements shall be extended for 5 days.      The Bureau would like to remind taxpayers that if they have any questions, they are welcome to visit the official website at https://www.ntbna.gov.tw for relevant regulations or call the toll-free service number 0800-000321. 〔Contact person: Ms. Chung, Section Head of Individual Income, Estate and Gift Tax Division; Tel: (03)3396789, ext. 1420〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=151b095e84c94fda8f6dabc1e69aa9da]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Thu, 05 Mar 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[Tax Refund Available for Newly Purchased Small Vehicles, Even Without Replacing Old Vehicles!]]></title>
	<description><![CDATA[     To stimulate the automotive market, boost related industries, and support energy-saving and carbon-reduction efforts, the　government has extended the existing tax refund program for replacing old vehicles with new ones to December 31, 2030. In addition, from September 7, 2025 to December 31, 2030, buyers of newly purchased vehicles may enjoy a reduction in commodity tax as follows: Up to NT$50,000 tax reduction for each new passenger car with an engine displacement of 2,000 cc or below. Up to NT$2,000 tax reduction for each new motorcycle with an engine displacement of 150 cc or below.      The program has been received with public enthusiasm. Many buyers of new vehicles have called to inquire about how to apply for the tax refund.      The National Taxation Bureau of the Northern Area (NTBNA), Ministry of Finance explained that purchasers of new small vehicles who complete vehicle registration and obtain new license plates between September 7, 2025 to December 31, 2030 may apply for the tax refund through the manufacturer or importer. The applicant should submit a copy of the vehicle registration certificate and a copy of the commodity tax payment certificate to the local National Taxation Bureau or Customs.      Buyers of new vehicles who wish to check the progress of their refund application can visit the Chinese version of the eTax Portal, Ministry of Finance online       If there are further questions, please call the toll-free number 0800-000321, or contact the regional taxation bureau, its branches or offices for further information and consultation. 〔Contact person: Ms. Lee, Sales Tax Division; Tel: (03)3396789, ext. 1290〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=3646662476324215b3f86d4868c01228]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Thu, 05 Mar 2026 16:00:00 GMT</pubDate>

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	<title><![CDATA[Four Common Mistakes in CFC Reporting Highlighted by the National Taxation Bureau]]></title>
	<description><![CDATA[     The Northern District National Taxation Bureau has issued a reminder to businesses regarding the Controlled Foreign Company (CFC) rules, which came into effect in 2023. The rules were introduced prevent multinational enterprises from establishing controlled foreign companies (CFC) in low-tax burden countries or jurisdictions to keep surplus earnings undistributed to avoid the tax burden in the R.O.C. To help ensure accurate reporting, the Bureau has identified four common mistakes enterprises should avoid when filing CFC-related information:     1. Misidentifying Low-Tax Jurisdictions Some companies mistakenly assume that only the Ministry of Finance’s published reference list applies. In reality, the list is for reference only and does not cover cases where preferential tax rates apply to specific regions or types of businesses, such as in Samoa or Mauritius. Whether a jurisdiction qualifies as “low-tax” must be determined based on the actual tax rule in place for that year.     2. Omitting CFCs That Qualify for Exemptions Even when a CFC meets the criteria for exemption—such as having substantive business activities or falling under the de minimis threshold—it must still be reported in the prescribed format. Supporting documents proving exemption eligibility must also be submitted.     3. Using Incorrect Exchange Rates Errors are often made when converting CFC financial data into New Taiwan Dollars. The rules require companies to use the annual average exchange rate, calculated from the Bank of Taiwan’s spot buying rates at the end of each month.     4. Late Submission of CFC Financial Statements Businesses that report CFC losses must attach CPA-audited financial statements or acceptable alternative documents within the filing deadline. Extensions are available but must be requested before the deadline, either through a formal application or by checking the extension option on page B7 of the tax return. Only one extension is permitted, for a maximum of six months. Failure to comply means CFC losses will not qualify for the 10-year carryforward deduction. The Bureau urges enterprises to carefully review their filings for the 2024 tax year to avoid these issues and to ensure compliance with the law. For further details, businesses can visit the Bureau’s official website (https://www.ntbna.gov.tw) or call the toll-free service line at 0800-000321. 〔Contact person：Ms. Liu, Head, Profit-seeking Enterprise Income Tax Devision；Tel：（03）3396789, ext. 1350〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=9c322ab2ad2748b890a902b2bbbc1fbf]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Thu, 05 Mar 2026 16:00:00 GMT</pubDate>

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<item>
	<title><![CDATA[Those Who Owe Taxes Without Payment and Seek to Transfer Assets may be subject to Provisional Seizure of Assets and Detention]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, Ministry of Finance stated that, in order to effectively collect taxes, if a taxpayer fails to pay the assessed supplementary taxes and there are signs of concealing or transferring assets or evading tax enforcement, the tax collection authority may, pursuant to Paragraph 1, Article 24 of the Tax Collection Act, petition the court to impose a provisional seizure on the taxpayer’s property. After the case is referred for compulsory enforcement, if the branch of the Administrative Enforcement Agency determines that the circumstances meet the requirements for detention, it may, in accordance with Article 17 of the Administrative Enforcement Act, apply to the court for such detention.      The Bureau provides the following example: Within the Bureau’s jurisdiction, Mr. A sold in-game currency online without applying for business registration as required, and underreported his sales revenue. He was assessed additional business tax and fines totaling over NT$4 million. After the Bureau began its investigation, Mr. A transferred ownership of his real estate to his mother and registered his vehicle under another person’s name—acts indicating concealment and transfer of assets to evade tax enforcement. The Bureau immediately applied to the court for a provisional seizure, which was granted, and then referred the case to the branch of the Administrative Enforcement Agency for execution. Based on Mr. A’s asset-stripping behavior and the unclear flow of multiple large withdrawals from online platforms, the administrative enforcement officer determined that the requirements for detention were met, applied to the court accordingly, and received approval for detention.      The Bureau stressed that for taxpayers who deliberately strip assets, conceal property, register assets in trust under third parties, or create fictitious claims to participate in distribution in order to evade tax enforcement, the Bureau actively monitors property changes and, when appropriate, applies for provisional seizures, provisional injunctions, and civil actions in accordance with the law. It also works closely with the Administrative Enforcement Agency of the Ministry of Justice, to recover tax arrears, safeguard the state's tax claims, and uphold tax justice with persistence and determination. The Bureau urges taxpayers to declare and pay taxes in accordance with the law and not to harbor any illusions about concealing or disposing of assets subject to compulsory enforcement. Those subjected to arrest and detention will lose their personal freedom, resulting in significant personal loss. 〔Contact person:Ms. Wang, Head, Collection and Information Management Division；Tel：（03）3396789,ext.1180〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=b8c854e854ec40a69fe2994d0f219008]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Wed, 25 Feb 2026 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[2025 Basic Living Expense is NT$213,000 per Taxpayer]]></title>
	<description><![CDATA[     National Taxation Bureau of the Northern Area, Ministry of Finance explained that, for maintaining basic living needs, there is a NT$213,000 basic living expense for each taxpayer, spouse, and dependent. The difference of a reporting household’s total amount of the basic living expense and deductibles for an individual income tax return (including total exemptions, standard deduction or itemized deductions, special deduction for savings & investment, special deduction for disability, special deduction for tuition, special deduction for pre-school children, special deduction for long-term care, and special deduction for rent for housing) is the “Basic Living Expense Difference.” The “Basic Living Expense Difference” is deducted from gross income.      If you have any questions, please call the toll-free number 0800-000-321. The Bureau will assign a professional to serve you. 〔Contact person : Ms. Chiu, Section Head of Individual Income, Estate and Gift Tax Division; Tel: (03) 3396789, ext. 1430〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=0759d28218fe44429f509f3dd0b24196]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 25 Jan 2026 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[How to File Taxes on Dividends from Inherited Listed Stocks?]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area, Ministry of Finance（NTBNA） indicated that listed or over-the-counter (OTC) stocks left by a decedent are considered part of the gross estate and must be reported for estate tax in accordance with the Estate and Gift Tax Act.      For dividends received by the heir after the decedent's date of death, it's crucial to determine whether the date of the decedent's death or the ex-dividend trading date came first. This determines if the dividends should be reported as rights of claim (receivable dividends) belonging to the decedent or as dividend income for the heir.      The NTBNA provides the following examples to clarify: *Example 1: Mr. Jia died on July 1, 2024, leaving behind stocks from Company A. The ex-dividend trading date for Company A was June 20, 2024, and the dividend payment date was July 18, 2024. Since the ex-dividend trading date was before Mr. Jia's date of death, the right to receive the cash dividends belonged to him. The cash dividends that were due but not yet received are considered rights of claim of the decedent and should be included in the gross estate for estate tax purposes. *Example 2: Mr. Bing died on June 1, 2024, also leaving behind stocks from Company A. The ex-dividend trading date for Company A was June 20, 2024, which occurred after Mr. Bing's date of death. In this case, the cash dividends distributed on July 18, 2024, are considered dividend income for the heir. The heir must include these dividends with their other incomes for the year when filing their Individual Income Tax Return.      The Bureau would like to remind taxpayers that if they have any questions, they are welcome to visit the official website at  NTBNA for relevant regulations or call the toll-free service number 0800-000321. 〔Contact person: Ms. Chung, Section Head of Individual Income, Estate and Gift Tax Division；Tel:（03）3396789 ext. 1420〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=325e8067632e49edbc6fa38d9a0f71d3]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 25 Jan 2026 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Alcohol to be Repackaged for Sale Subject to Tobacco and Alcohol Tax at Time of Production]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area stated that, in response to increased gift-giving demand during holidays, alcohol manufacturers that repackage large-volume alcoholic products into smaller containers for sale are engaging in a form of “production” under the Tobacco and Alcohol Tax Act. As such, whether produced domestically or imported from abroad, manufacturers must complete business and product registration and pay the applicable tobacco and alcohol tax prior to such repackaging activities.      The Bureau further explained that “production” under the Tobacco and Alcohol Tax Act includes manufacturing, repackaging, and other related activities. “Repackaging” refers to the act of unsealing and transferring bulk or large-volume tobacco or alcohol products into smaller containers, without any additional manufacturing or processing. Manufacturers must apply to the Ministry of Finance for a tobacco and alcohol manufacturing license, and prior to engaging in production or repackaging, must register as a taxable tobacco and alcohol manufacturer and register their products with the competent tax authority in the factory’s jurisdiction.      The Bureau would like to remind manufacturers to regularly assess whether any production or repackaging activities have been carried out without the required manufacturer and product registration. It is also important to update registrations if there have been changes to the product name, specifications, volume, net weight, or alcohol content of previously approved products. Failure to comply with these requirements may result in penalties in accordance with the Tobacco and Alcohol Tax Act. For tax-related inquiries, please call the National Taxation Bureau's toll-free service hotline at 0800-000321 for assistance. 〔Contact person：Sales Tax Division Chief Tsai; Tel:（03）3396789 ext.1280〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=bda59b347a514e5597c8dfede6df8b5b]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 25 Jan 2026 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Total value of farmland inherited by the heir(s) or legatee(s) for agricultural purpose is deducted from the gross estate]]></title>
	<description><![CDATA[National Taxation Bureau of the Northern Area （NTBNA）, Ministry of Finance, indicated that, as stipulated under Subparagraph 6, Paragraph 1, Article 17 of the Estate and Gift Tax Act, the total value of crops and farmland inherited by the heir(s) or legatee(s) for agricultural purpose is deducted from the gross estate.     NTBNA additionally explains, if the heir(s) or legatee(s) fails to use the farmland thus inherited for agricultural purpose continuously for five years from the date of inheritance and fails to resume farming before the deadline set by the competent authority, or has resumed the use of farmland for agricultural purpose before the aforesaid deadline but subsequently fails to farm again, tax shall be made due retroactively, unless the disuse of farmland for agricultural purpose is due to the fact that the heir(s) has died, or that the land is requisitioned by the government, or has changed zoning to non-farming purpose pursuant to laws.    If you have any questions, please call the toll-free number 0800-000321. The Bureau will assign a professional to serve you. 〔Contact person: Ms. Kuo, Section Head of Individual Income, Estate and Gift Tax Division；Tel：（03）3396789, ext. 1460〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=04a3ef15f9ab4508811a48a738c3da1e]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 30 Nov 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Commodity Tax Refund on Purchasing Energy-Efficient Appliances extended to DEC. 31, 2029]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area （NTBNA）stated that in order to encourage consumers to use energy-efficient appliances, and achieve the policy goal of reduce carbon emissions, those who purchase new refrigerators, new air conditioners, or new dehumidifiers classified as first- or second-grade energy efficiency levels approved by the Ministry of Economic Affairs, and do not resell, return, or exchange said appliances, can apply to any national tax bureau for a commodity tax refund, up to NT$2,000 per unit. The preferential treatment period has been extended to December 31, 2029.      The NTBNA further explained that the application may be submitted via the internet or in written form to any national taxation bureau. The following documents are required when applying for the reduction of commodity taxes. 1. A copy of the national ID card, passport, or residence permit where the buyer is a natural person. However, if the buyer applies via the internet, he or she is exempt. 2. A copy of the uniform invoice issued by the seller, or a copy of the receipt issued by the seller with a tax ID number exempted from using the uniform invoice; the uniform invoice or receipt should include the brand, product name, and model number. However, those who obtain the cloud invoice or electronic invoice certification copy are exempt. 3. Through online application, the copy of the uniform invoice issued by the seller or the copy of the receipt issued by the seller with a tax ID number exempted from using the uniform invoice can be uploaded as an attached file to avoid sending paper documents. 4. In order to accelerate and improve the accuracy of the tax refund process, it is recommended to attach a copy of the product guarantee or warranty card and the cover copy of the passbook of a financial institution or post office.      The NTBNA would like to remind taxpayers that if there are any questions, please call the toll-free number 0800-000321, or directly contact the national taxation bureaus, regional taxation branches, or offices for further information. 〔Contact person： Sales Tax Division Chief Zhan；Tel：（03）3396789, ext. 1270〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=7b65fc026d824d879815640ddaa73343]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Thu, 13 Nov 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Don't Forget to Consolidate Carriers to Your Mobile Barcode and Claim Your Winnings Online]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area（NTBNA）, Ministry of Finance, indicated that with the growing trend of e-commerce, many business entities have adopted membership systems as an innovative marketing strategy and offer member-exclusive discount plans, which help expand business opportunities and encourage the use of membership carriers for cloud invoices. This not only reduces operating costs but also brings various benefits to both businesses and consumers.      The NTBNA explains that business entities using membership carriers should provide a mechanism for linking those carriers to mobile barcodes. Moreover, they should notify winning members who have not yet consolidated their carriers with their mobile barcodes within 10 days after the uniform invoice drawing date of each period. Notifications should be sent via SMS, email, or other appropriate methods. Upon receiving a winning notification, members can print the winning certificate at multimedia kiosks in the four major convenience store chains（7-Eleven, FamilyMart, Hi-Life, and OKmart）, or present the printed notification provided by the business entity to redeem the prize at a designated redemption location.      The NTBNA also reminds consumers that to enjoy the convenience of automatic prize remittance into their designated accounts, they should log in to the member platform of the respective business entity or the Ministry of Finance’s Electronic Invoice Integration Service Platform （hereinafter referred to as the “Platform”）. There, they can consolidate their membership carriers to their mobile barcode and set up an account to claim the awards. By doing so, they can enjoy several convenient services, such as automatic prize matching, winning notifications, prize redemption, and direct deposit of cash awards into their financial accounts.Those who have not completed the binding of carriers and account settings before the draw date can still claim their prizes. They may register a remittance account via the Uniform Invoice Redemption App （hereinafter referred to as the “Redemption App”）within three months from the 6th of the month following the draw. Users must manually select “I want to claim the award” for each winning invoice to ensure that they do not miss out on any prizes.      The Bureau appeals to business entities using membership carriers to provide mechanisms that allow members to register on both the Platform and their own membership platforms. This will help reduce the administrative costs of notifying and processing winning invoices. To manage cloud invoices more effectively and enjoy automatic prize matching, consumers are encouraged to consolidate various carriers — such as membership carriers, stored-value cards（e.g., EasyCard, iPASS）, credit cards, and cross-border e-commerce email carrier, etc. — into their mobile barcode through the Platform or the Redemption App. This also contributes to energy conservation, carbon reduction, and environmental protection. If you have any questions, please call the toll-free service number 0800-000321 for inquiries, and the Bureau will have a dedicated person to serve you wholeheartedly. 〔Contact person: Ms. Zheng, Section Head of Sales Tax Division； Tel: (03) 3396789, ext.1260〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=42eca305a9d14276bc020f8f70caa042]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 12 Oct 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Threshold of annual sales amount for offshore electronic service suppliers to apply for taxation registration has been adjusted.]]></title>
	<description><![CDATA[      According to the National Taxation Bureau of the Northern Area, Ministry of Finance（NTBNA）, foreign business enterprises, institutions, groups, and organizations having no fixed place of business within the territory of the R.O.C. and selling electronic services to domestic individuals（hereinafter referred to as “offshore electronic service suppliers”）shall apply for taxation registration, issue cloud invoices to the purchaser, and file and pay business tax when their annual sales amount exceeds a certain criteria.       The NTBNA explained that, in line with the MOF’s adjustment of the threshold for tax registration by domestic electronic service suppliers to NT$50,000 in monthly sales （announced on December 12, 2024）, and to ensure tax fairness between domestic and foreign businesses, the specified criteria regarding annual sales amount for tax registration by the business entity prescribed in Subparagraph 4, Article 6 of the Value-Added and Non-Value-Added Business Tax Act was amended and promulgated by the MOF on April 7, 2025. The new criteria is NT$600,000（NT$50,000 × 12 months） for the previous year or the current year. However, offshore electronic service suppliers with an annual sales amount exceeding NT$480,000 before April 6, 2025, must follow the previous regulations.       The NTBNA would like to remind offshore electronic service suppliers with the annual sales amount exceeding the specified criteria to link to “VAT on cross-border electronic services” at the taxation registration platform of the MOF to register for taxation by itself or a tax-filing agent. It must also issue cloud invoices to the purchaser and use the email address provided by the purchaser at the time of purchase as the carrier for storing the cloud invoice. 〔Contact person : Section Head Tsai of Sales Tax Division; Tel:（03）3396789 ext. 1240〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=1b31aa98beba478780cdef3a99c335b3]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Tue, 02 Sep 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[The period to apply for the application of the Income Tax Agreements has been extended from 5 years to 10 years!]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area （NTBNA）, MOF, stated that, the Ministry of Finance revised and issued Article 34 of Regulations Governing Application of Agreements for the Avoidance of Double Taxation with Respect to Taxes on Income （hereinafter referred to as “Regulations Governing Application”）, which stipulates that from April 10, 2025, the period for residents of other contracting states （foreign taxpayers）to apply to Taiwan’s tax collection authorities for the application of income tax treaties has been extended from 5 years from the date of tax payment to 10 years.      The Bureau further stated that according to the revised provisions, the period for foreign taxpayers to apply for the application of the agreement to our country has been relaxed to “no later than 10 years from the date of tax payment,” and the application principle of the transition period resulting from the amendment of the provision has been added. If the foreign taxpayer’s application case has exceeded more than 5 years from the date of tax payment to the date of implementation of the amended provision（i.e. April 10, 2025）, the revised provisions will not apply.      For example, Company A in Taiwan pays labor fees to Company B abroad and pays withholding tax on April 15, 2020. According to the regulations before the amendment, Company B had a 5-year period to apply for a tax refund, with the last application date being April 14, 2025. Since it has not been more than 5 years by the time the amendment was implemented （April 10, 2025）, the application period could be relaxed to 10 years.      The Bureau would like to especially remind taxpayers that, in accordance with Article 34 of the revised Regulations Governing Application, in addition to relaxing the application period of the income tax agreements to 10 years and the principle of application during the transition period, if there are other provisions in the special income tax agreement, the agreement should be given priority. For example, Paragraph 2, Article 26 of the tax agreement signed between Taiwan and Germany states that “applications for tax refunds must be submitted before the end of the fourth year after the calendar year in which the dividends, interest, royalties or other income items are subject to withholding tax.” Accordingly, German residents should submit applications for the application of the income tax agreement before the fourth year after the calendar year, and the 10-year provision after the amendment does not apply. If there are further questions, please visit the NTBNA website to inquire about the relevant laws or call the toll-free service number 0800-000321 for detailed consultation services. 〔Contact person: Ms. Liu, Head, Profit-seeking Enterprise Income Tax Division； Tel:（03）3396789 ext. 1340〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=e13a2030fa3446ef8186e781b4e22115]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Tue, 02 Sep 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[If a profit-seeking enterprise uses surplus earnings to make substantial investment and reports it as deduction from undistributed earnings, it must pay the supplementary tax previously deducted for the investment transferred or sold within three years.]]></title>
	<description><![CDATA[     The National Taxation Bureau of the Northern Area （NTBNA）, MOF, stated that, pursuant to Article 23-3 of the Statute for Industrial Innovation, if a profit-seeking enterprise uses its surplus earnings for substantial investment, and within three years from the day after the deadline for filing the undistributed earnings declaration or from the day after the application date for correction and recalculation of the undistributed earnings, the enterprise loans, leases, resells, returns, or changes the original intended use to non-self-production or non-business purposes of the buildings, software, hardware, equipment, or technology constructed or purchased using the surplus earnings, it shall be required to pay the supplementary taxes previously deducted or refunded to the tax authority. In addition, interest will accrue daily at the fixed interest rate for one-year time deposit of postal savings, calculated from the day after the filing deadline or the day after the receipt of the tax refund, to the date of payment of supplementary tax, and collected together with the tax.      For example, Company A reported a deduction of NT$10 million for substantial investment in undistributed surplus earnings declaration of the year 2021. Upon investigation, it was found that Company A had used the undistributed surplus earnings to purchase machinery and equipment for its own production purposes in 2022. However, Company A changed its business scope and sold the aforementioned machinery and equipment in 2024. As this no longer met the requirement that substantial investment items must be used for self-production or business purpose, the situation was discovered and the investment was disqualified by the National Taxation Bureau of the Northern Area. As a result, Company A not only is required to pay the supplement tax previously deducted but also the accrued daily interest charges, both to be collected together.      The Bureau would like to especially remind taxpayers that, pursuant to Article 23-3 of the Statute for Industrial Innovation, only substantial investment used for self-production or business operations may be deducted from the undistributed earnings. Profit-seeking enterprises that still have questions may visit the website of NTBNA to inquire about the relevant laws or call the toll-free service number 0800-000321 for detailed consultation services. 〔Contact person:Ms. Liu, Head, Profit-seeking Enterprise Income Tax Division; Tel:（03）3396789 ext. 1350〕]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=03f4bf647e7a44099c8834845c76838b]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Sun, 10 Aug 2025 16:00:00 GMT</pubDate>

</item>
<item>
	<title><![CDATA[Profit-seeking enterprises that omit filing income from exercising right of disgorgement shall be punished.]]></title>
	<description><![CDATA[     National Taxation Bureau of the Northern Area, Ministry of Finance stated that, according to the International Financial Reporting Standards （IFRS）, the income obtained by a company exercising the right of disgorgement under Article 157 of Securities and Exchange Act essentially constitutes income attributable to equity claim holders and should be recognized as additional paid-in capital. However, for filing of tax returns and payment of tax, these incomes should be reported as other income in the year when the company exercises the right of disgorgement. The NTBNA explains that, in the event that any director, supervisor, managerial officer, or shareholder holding more than 10 percent of the shares of a stock issuing company sells listed stock of the company within six months after acquiring it, or repurchases listed stock of the company within six months after selling it, the company shall claim for the disgorgement of any profit realized therefrom. When the company files tax returns and payment of tax, the income from the right of disgorgement attribution year for tax reporting should be determined by the date when the company exercises the right of disgorgement. But, if the company can provide concrete evidence that necessary measures to exercise the right of disgorgement have been take but the realization of such income is still unachievable, it may temporarily defer reporting the income until receiving it.      The NTBNA provides the following example: In 2021, Manager A of Company X, upon learning of positive news regarding Company X’s stock price, engaged in short-term trading of Company X’s stock, earning NT$360,000 in profit. In 2022, Company X exercised its disgorgement right under Article 157 of the Securities and Exchange Act. However, the amount was recorded in its financial accounts as additional paid-in capital, Company X failed to report this income in its 2022 corporate income tax return. As a result, the NTBNA assessed a tax deficiency of NT$72,000 and imposed penalties in accordance with Article 110 of the Income Tax Act.      The NTBNA would like to specifically remind profit-seeking enterprises exercising the right of disgorgement under Article 157 of the Securities and Exchange Act that they must report the benefits obtained as income in the year the right is exercised to avoid tax deficiencies and penalties, which could affect their interests. For more information, please check the relevant laws and regulations on the NTBNA’s website or dial our toll-free service number 0800-000321. The NTBNA is pleased to provide further consultation services upon inquiry. 〔Contact person: Mr. Chang, Head, Profit-seeking Enterprise Income Tax Division；Tel：（03）3396789, ext.1320〕  ]]></description>
	<link><![CDATA[https://www.ntbna.gov.tw/eng/singlehtml/4bc13384b8f048148b29d187d7b80788?cntId=932f7d0dc2da4e3288c6fee7d1713741]]></link>
	<author><![CDATA[]]></author>
	<pubDate>Wed, 09 Jul 2025 16:00:00 GMT</pubDate>

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