Tax withholding rate after getting a new ARC?


#1

I will be leaving for Canada for a 2 week vacation in August, 2002. I will be switching jobs come September, 2002.

What I’m wondering is the following: if I have to go and get another ARC, meaning cancel my recent one, and reapply, will I then be subject to the 6 months of 20% tax taken off my cheques? or will it continue to be 4%? Any help would be great!


#2

The status of whether or not you have an ARC has no bearing on whether you are a “resident” for income tax purposes. Those are two different things.

Hence, as far as the tax authorities are concerned, it does not matter whether you keep your old ARC, get a new one, or come and go on a tourist visa. If you are inside the ROC area for over 183 days in any one fiscal year, you qualify for the lower withholding rate.


#3

Is this really the case? I know that I read this on the tax form and arranged my time in Taiwan accordingly, but when I went to the Tax office in May, the lady informed me that it was not the time that I had been in Taiwan that year that was counted, but only the days from the date that my ARC was issued.

My ARC was issued on 30 June and because I had left the country a few times between then and the end of the year, according to her I had not spent 183 days.

Fortunately this was resolved by a fax from my employer stating that they had applied for the ARC previous to this date.


#4

Who told you this? Which tax office? Can you give me a name and an address?


#5

If you don’t agree with what the lady at the tax office tells you, go the next day, speak to someone different and keep doing this until you get a response you can live with. It used to work for me.

[Moderator’s note: This post is apparently intended to be sarcastic . . . . ]