TAIPEI: Taiwan is set to revise tax rules with plans to cut income tax for foreign professionals and ease their multinational employers’ tax burden, the Cabinet said.
According to Kao Shien-quey, deputy minister of the Cabinet’s National Development Council, the government has identified 27 priority areas for policy changes to attract more foreign professionals to Taiwan. She said Sept. 1 that some of the issues will be resolved through an overhaul of current taxes.
Kao said a number of foreign professionals have criticized Taiwan’s high individual income tax rate. The top-tier 45 percent tax bracket in Taiwan is much higher than Hong Kong’s 17 percent and 20 percent in Singapore, she said.
“The Ministry of Finance will soon come up with a proposal to revise tax rules, levying less income tax on foreign professionals at least at the first three years,” Kao told a news conference following a Cabinet meeting.