To apply for the reduced 3% withholding rate,
Business entity or NPO. Practitioners of professions, such as law firms, are excluded.
Applicants from mainland China are excluded, and applicants from tax havens will be assessed carefully.
3. Permanent establishment in Taiwan
Not relevant and regardless whether or not it has a branch office or business agent in Taiwan.
4. Business in Taiwan
Only international transport, construction contracting, providing technical services, or leasing machinery / equipment are included.
If the payments for technical consulting services include royalties, the payments for royalties should be separated and excluded from the total technical consulting fee.
7. Technical Depth
9. Cost Calculation
Having difficulty in calculating the project’s cost and profit according to the work done. In this circumstance, the taxpayer applies for the assessed profit rate at 10% or 15%, if the cost can be measured precisely, the taxpayer should be taxed according to the real profits based on real costs.