Tax: 6% v 10%


#1

why am I taxed at 10% when my friend in another company is taxed at 6% ??


#2

Taiwan is using the “progressive tax rate” which is different for each income level. If your income/tax year is below NTD 370,000 (Hartzell?), then you will be taxed at 6% rate after deductions and exemption. The amount above 370,000 will be taxed higher.

Another possibility is the 10% is actually your prepaid-tax, and you can claim the tax return when you report your tax.


#3

I arrived here in Mid August. Began paying taxes in October at 20%. I was not here for 183 days in 2000. My employer dropped my tax rate down to 6% in march after I was here a total of 183 days. I am now leaving the country in the end of May, am I supposed to go to the tax office before I leave, if I do will i be required to pay any back taxes that i owe?


#4

If you leave Taiwan end of May, you will have stayed in the island for less than 183 days (151 days to be exact) and this also means you need to pay your tax at 20% flat rate. The tax office counts your duration of stay annually, therefore, you cannot include your period of stay in the year of 2000 into this year.