Taiwan’s Tax Rules for Foreign Businesses Are Changing in 2025
— Moving Toward a More Digital and Transparent System
Starting in 2025, Taiwan’s tax system is being upgraded.
For foreign companies, this is more than an accounting change — it will affect overall governance and compliance.
🔹 1. Stronger international disclosure rules
Taiwan will align with global standards to improve transparency in cross-border transactions.
Companies must clearly document fund flows, ownership structures, and related-party transactions.
🔹 2. Mandatory e-invoicing for all businesses
Nearly all companies operating in Taiwan will be required to issue e-invoices.
Accounting and tax systems must be integrated for real-time accuracy and reporting.
🔹 3. Stricter checks on business substance
Authorities will review whether foreign entities have real operations in Taiwan —
such as offices, staff, and bank accounts — to prevent “paper companies.”
💡 Summary
Taiwan is shifting from a “business-friendly” market to a “transparency-driven” one.
Preparing early and strengthening internal systems will help reduce risks and ensure sustainable operations.
📩 Taiwan Connect supports foreign and Japanese companies entering Taiwan with: company incorporation, accounting, tax filing, and cross-border compliance advisory —all in one integrated service.
