VAT Guide for Businesses with Customers in Taiwan

• This is a guide for businesses with customers in Taiwan regarding Value Added Tax (VAT).
• Taiwan has two types of business tax: VAT and Gross Business Receipts Tax (GBRT).
• The standard VAT rate is 5%, with some exemptions.
• GBRT applies to specific industries and the rate depends on the entity type and type of supply. There is no registration threshold for domestic or non-established sellers, but non-resident suppliers of Digital Services must register if their annual turnover exceeds TWD 480,000.
• The format of the Tax ID Number (TIN) varies for individuals based on their nationality and registration status.
• Taiwan has implemented a VAT obligation for cross-border sales of business-to-consumer electronic services, with a 5% VAT rate.
• Foreign sellers must register for VAT purposes, file VAT returns, and pay VAT if their annual sales exceed TWD 480,000.
• Digital services that fall within this obligation include downloadable services, online services, and services ordered online but delivered in a physical location in Taiwan.

Source Fonoa

See also

• VAT Country guides of the European Union Countries

---

Click on the logo to visit the website

---

Don’t miss any VAT and other indirect tax news ….

• Visit our website www.vatupdate.com
• Use our search function on any term, per country, select a tag or a period
• Follow us on Linkedin

---

---