I don’t suppose if any of you knows whether ARC holders can get sales tax refunded on purchases made at department stores like Shinkong Mitsukoshi? There are requirements that you can only claim it if you are planning on leaving the country with the items within 30 days, and on SM’s site they mentioned having to have your entry/exit permit, passport, and “visitor visa” available to file a form…so I guess resident visa holders are not eligible if they are planning on taking the item out of the country?
I think this still applies as long as the department stores give you the proper form for that VAT line at the airport
Sales taxes are 5%?
AI says
No, ARC holders and foreign residents in Taiwan are not eligible for the tourist VAT refund. The tax refund is specifically for foreign tourists who meet these criteria:
- Enter Taiwan with a foreign passport or travel documents
- Stay for no more than 183 days from arrival date
- Are not current ARC holders[1][5]
Even if an ARC holder is planning to leave Taiwan permanently, they cannot claim the tourist VAT refund while still holding a valid ARC[1]. The system is designed exclusively for tourists, and residents (including those with ARCs) must pay the standard 5% VAT without refund eligibility.
If someone transitions from being an ARC holder to a tourist status (after canceling their ARC), they would need to re-enter Taiwan as a tourist to be eligible for future VAT refunds[1].
Citations:
[1] Tourist Tax Refund for ARC holder permanently leaving Taiwan. Is it … Tourist Tax Refund for ARC holder permanently leaving Taiwan. Is it possible?
[2] Q1：When are foreigners required to file their income tax returns in … Q1：When are foreigners required to file their income tax returns in the Republic of China (R.O.C.)?-National Taxation Bureau of Taipei
[3] Taiwan Tax Refund for Foreign Tourists-Ministry of Finance, R.O.C Taiwan Tax Refund for Foreign Tourists-Ministry of Finance, R.O.C
[4] [PDF] Taxation For Foreigners In Taiwan https://ws.hl.gov.tw/Download.ashx?u=LzAwMS9VcGxvYWQvNTQwL3JlbGZpbGUvMjU5MjgvMTEyNDEvNDQxZGI0YTEtOTg5MC00N2VjLWI3ZGYtNjRhYjJjMDkyOWNkLnBkZg%3D%3D&n=56iF5YuZ55u46Zec5ZWP562U6ZuG6Iux5paH54mILnBkZg%3D%3D
[5] Goods Eligible for Tax-refund Content
[6] VAT Refund > Tourism Administration, Republic of China (Taiwan) VAT Refund > Tourism Administration, Republic of China (Taiwan)
[7] Taiwan Tax FAQ - Foreigners in Taiwan - 外國人在臺灣 Taiwan Tax FAQ - Foreigners in Taiwan - 外國人在臺灣
[8] Instructions for 2023 Alien Individual Income Tax - nat.gov.tw Instructions for 2023 Alien Individual Income Tax-eTax Portal,Ministry of Finance