I will need to file again taxes in Taiwan and again I fail to calculate the whole thing.
Let me Take a random number:
800000 NT$ annual income.
Im Married No children and no Parents above 70
I now tried to get to the point how much taxes i need to pay
My wife works as a Elementray school teacher and does not pay taxes and has even less idea about it then me.
I come down to Two possabilites which might still wrong.
Scenario:
Income Net: 800.000 NT$
Salary Deduction: 78.000 NT$
Exemption: 148.000 NT$ ( Me and spouse) < here im absolutly not sure. She does not pay taxes so i declare for both of us?
Standard Deduction 92.000 NT$ ( Me and spouse ) < here im absolutly not sure. She does not pay taxes so i declare for both of us?
= 482.000 NT$
13% 62.660 NT$
Progressive deduction 25.900 NT$
= Taxes to pay 36.760 NT$
Scenario
Income Net: 800.000 NT$
Salary Deduction: 78.000 NT$
Exemption: 77.000 NT$
Standard Deduction 44.000 NT$
= 601.000 NT$
13% 78.130 NT$
Progressive deduction 25.900 NT$
= Taxes to pay 49.425 NT$
Which one is right or better asked is any of them correct?
I just know if I go there and signature the tax form I will only have one tought: āThats the year i go to jail.ā
[quote=ādenistheinertā]Im Married No children and no Parents above 70
I now tried to get to the point how much taxes I need to pay
My wife works as a Elementray school teacher and does not pay taxes and has even less idea about it then me.
[/quote]
Ah, I have the same problem as you. I also donāt know if we can file now, or have to file with all the other married foreigners (and Taiwanese) in May. My wife spoke to her colleagues who said they file with their husbands and āpretendā to be unemployed.
The exemptions are for you, your wife, and any children. Since your children also donāt pay taxes, I donāt think it matters that your wife doesnāt. So you can take an exemption for her. You can also take the married standard deduction.
Also, the standard married deduction for 2008 seems to be $146,000, not $92,000.
You just canāt take the salary deduction for her.
Thatās just my understanding. Iāve never done this before (married or single), so Iām just as clueless.
side question if you didnāt file tax and didnāt pay tax, they will just mail you something to pay it up and along with some penalty? I am talking about not a big amount but pretty small amount of money. They wonāt just put you straight in jail will they, this friend was saying something about jail but itās pretty small amount of money. also penalty for not filing tax how bad is it? thanks guys
I think this is the best thread to ask in- donāt want to flood the calculator threadā¦
How is āSpecial Deduction for Saving & Investmentā calculated?
Iāve read every site I could find about taxes here, but the descriptions for this deduction are very vague. Supposedly up to 270,000 can be deducted, but for what and how? Does it mean that any interest earned on money saved in the bank is not taxed up to 270,000? Does it cover all investments, such as stock market returns, bonds, etc?
Special Deduction for Savings and Investment: Interest derived from deposits made in financial institutions and profits accrued from trust funds with the nature of savings, as well as dividends occurred from the transaction, gift, or inheritance of the tax-deferred stocks divided before December 31st, 1998 received by a taxpayer, his/her spouse, and the dependents filing jointly listed in his/her gross income return for taxation may be exempt from income tax in full, if the total amount of such income for the whole year does not exceed NT$270,000. If the amount exceeds NT$270,000, the deduction shall be limited to NT$270,000. However, the following kinds of interest are excluded from the special deduction for savings and investment:
i. The interest accrued from postal passbook savings under the provisions of the Post Savings and Remittances Act;
ii. The interest derived or accrued from government bonds, corporate bonds, financial bonds, and short-term commercial papers;
iii. The interest derived from asset-backed securities issued in accordance with the Financial Asset Securitization Act and the Real Estate Securitization Act;
iv. The interest derived from repo (RP/RS) trade whereby an individual purchases securities or short-term commercial papers as listed in preceding items ii. and iii from January 1st, 2010.
and again I fail to calculate the whole thing.