Businesses Must File Tax Returns Upon Cancellation Regardless of Sales

• Businesses must file current period sales and tax amounts even after cancelling their tax registration
• This requirement applies regardless of whether there were any sales during the period
• The law mandates reporting within 15 days of events like mergers, transfers, dissolution, or cessation of business
• Failure to report within the stipulated time can lead to penalties ranging from 1 percent of the tax amount due every two days to a 30 percent surcharge if delayed over 30 days
• Penalties have minimum and maximum limits set between 1,200 and 30,000 New Taiwan Dollars
• An example given is Company A which cancelled its tax registration but failed to report for the period resulting in a penalty of 3,000 New Taiwan Dollars despite no sales
• The tax authority emphasizes the importance of timely reporting post-cancellation to avoid penalties and protect business interests

Source: mof.gov.tw

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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