[Taxation] Money Transfer from USA to Taiwan

Hello,

I was wondering if there’ll be taxation in Taiwan if I money wire from the US into Taiwan? There will not be any currency exchange. Is there currently any thrashold that I should be aware of? Thank you in advance.

If I indicate the source of the money is from an investment account, will my bank (E.Sun Bank) in Taiwan report this to the National Taxation Bureau of the Ministry of Finance? I know they do ask what the source of the funds is, so an obligation to report is implied

I found an FAQ in English about overseas income but I did not find a specific answer to this (so for now I will assume it is reported and for transfer amounts greater than NT$ 1M a top level 20% tax rate can be expected – I hope someone can clarify this assumption)

https://www.ntbt.gov.tw/English/multiplehtml/d8f39518bcac4e249102687ee8d8f25d

The overseas income FAQs I found did reference that income would fall under the same 10 categories for locally sourced income, but I did not find the 10 categories mentioned. Presumably, financial earnings are covered

https://www.ntbt.gov.tw/English/singlehtml/d8f39518bcac4e249102687ee8d8f25d?cntId=e533931aabe94d26ad8913110ed4e257

So, instead of investment income, banks have suggested I write in the money is from family for my daily living expenses.

The direct wiring is not an income. Its personal & family finance and that has already been taxed by the US government.

Welcome to Forumosa :slight_smile:

So, practically, when money is received in Taiwan you must provide a remittance classification (your bank will call and ask what the source/purpose of the funds is). Tiny primer on remittance classifications at the start of this post. I recommend having a read of the list of classifications and finding an appropriate one for describing your situation. That way when the bank calls, you can just give them the exact wording and code and they’ll be happy. Amounts over 500k NT are treated with a bit more care than amounts below, but in general it’s a painless process.

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