How to Get a Tax Refund in Taiwan as a Foreigner (2026)

Who qualifies for a tax refund in Taiwan?

Whether you can receive a tax refund depends primarily on your tax residency status, which is determined by how many days you stayed in Taiwan during the calendar year (January 1 – December 31).

Tax Residents (183+ days in Taiwan):

• You are taxed on your worldwide income using the same progressive rates as Taiwanese citizens
• You are eligible for all standard deductions and exemptions
• You can receive a refund if your total tax withheld exceeds your actual tax liability
• Most full-time employees with stable income will qualify for at least a partial refund after filing

Non-Residents (fewer than 183 days):

• You are taxed only on Taiwan-sourced income at a flat rate
• Generally not eligible for a refund (flat withholding is considered final tax)
• Exception: if you were a non-resident for only part of the year and became a resident, you may file and claim deductions for the resident portion

Key rule: Count your physical presence days in Taiwan carefully. Days of arrival and departure both count as presence days.

What income tax rate applies to foreigners in Taiwan?

Taiwan uses different tax rates depending on your residency status:

For Tax Residents (183+ days):

Note: Taxable income = gross income minus all allowable deductions and exemptions.

For Non-Residents:

• 18% flat rate on most income types (salary, consulting fees, etc.)
• 20% on certain passive income (royalties, dividends)
• Withholding is typically handled by your employer; no annual filing required in most cases

Minimum Tax (AMT):

High-income residents may be subject to the Alternative Minimum Tax (AMT) at 20% if their regular income tax falls below a certain threshold. This mainly affects those with large stock gains or offshore income.

How to file your annual tax return in Taiwan?

The annual income tax filing period runs from May 1 to May 31 each year (for the previous calendar year's income). Here's how to do it step by step:

Step 1: Obtain a Tax Identification Number

• If you have an ARC (Alien Resident Certificate), your ARC number serves as your tax ID
• If you don't have an ARC, you need a Unified Invoice Number (統一編號) from the National Taxation Bureau

Step 2: Gather your income documents

• Withholding Tax Statement (扣繳憑單): Your employer must provide this by end of January
• NHI premium payment records
• Bank interest statements
• Any other income documentation

Step 3: Choose your filing method

Step 4: Complete the return

• Input income, deductions, and exemptions
• The system calculates your tax liability automatically
• Compare against your total withheld tax

Step 5: Pay or claim refund

• If you owe tax: Pay by May 31 (online transfer, ATM, convenience store)
• If you are owed a refund: Submit your bank account details for direct deposit

Tip: Many accounting firms and CPAs in Taiwan offer English-language tax filing services for a fee of approximately NT$3,000–8,000 for a standard return.

What deductions can foreigners claim?

Resident foreigners are entitled to the same deductions as Taiwanese nationals:

Standard Deductions (most common choice):

Special Deductions (itemized):

• Salary income deduction: NT$207,000 or 20% of salary income, whichever is lower
• NHI premiums: Fully deductible
• Rental expense deduction: Up to NT$180,000 (if you do not own property in Taiwan)
• Tuition deduction: Up to NT$25,000 per college student dependent
• Long-term care deduction: NT$120,000 per qualifying person

Example Calculation (single foreign employee, annual salary NT$900,000):

How long does it take to receive a refund?

After you file your return and the tax bureau processes it, refunds are typically issued as follows:

Timeline:

• Online filing + bank direct deposit: 2–4 months after the May 31 deadline (usually July–September)
• Paper filing: May take slightly longer, up to 4–5 months
• Early filing (May 1–15): Generally processed faster than last-minute filings

How refunds are paid:

1. Bank transfer (direct deposit) — fastest and most convenient; you must provide a Taiwan bank account number when filing
2. Check (支票) — mailed to your registered address; allow additional time for delivery and encashment
3. Post office pickup — in some cases, a notice is mailed and you collect at a post office branch

Tracking your refund:

• You can check the status at the National Taxation Bureau website (財政部電子申報) using your ARC number
• Refund notifications are sometimes sent by SMS if you registered a mobile number

What if I leave Taiwan before getting my refund?

It is common for foreigners to leave Taiwan before their refund is processed. Here are your options:

Option 1: Appoint a Local Representative (代理人)

• Designate a trusted person in Taiwan (friend, colleague, accountant) to act on your behalf
• Provide a written power of attorney (授權書)
• The representative can receive the refund check or have it deposited into a joint/designated account
• This is the most reliable method

Option 2: Keep a Taiwan Bank Account Open

• If you filed with a Taiwan bank account for direct deposit, the refund will be credited even after you leave
• Most banks allow accounts to remain open while overseas (check with your bank)
• You can transfer funds internationally once the refund arrives

Option 3: Update Your Mailing Address

• If receiving by check, ensure the tax bureau has your current overseas address
• International mail can be unreliable; this option is not recommended

Important — Clear Tax Before Departure:

If you are leaving Taiwan permanently (canceling your ARC), you may need to obtain a Tax Clearance Certificate (納稅證明) from the National Taxation Bureau before your ARC cancellation is processed. This confirms you have no outstanding tax obligations.

Contact your local National Taxation Bureau branch for guidance specific to your situation.