Presently, Taiwan has a corporate income tax rate of 17 percent. What about other countries? Are Taiwanese companies paying much more or less compared to companies in other countries?
Take a look at the 2014 corporate tax rates in China, Thailand, Vietnam, Hong Kong, Japan, the U.S. and the U.K., those who are often regarded as Taiwan’s competitors and list them from the most to the lowest:Take a look at the 2014 corporate tax rates in China, Thailand, Vietnam, Hong Kong, Japan, the U.S. and the U.K., those who are often regarded as Taiwan’s competitors and list them from the most to the lowest:
Countries Corporate Income Tax Rate(%)
United States 40
Japan 35.64
China 25
Vietnam 22
United Kingdom 21
Thailand 20
Taiwan 17
Hong Kong 16.5
(Source: KPMG Corporate tax rates table)
Taiwan is the second lowest compared to those countries and is really close to Hong Kong’s 16.5% . In fact, Taiwan’s corporate income tax rate is among the lowest in the world, only higher than Hong Kong and Macau (12%) in East Asia and some countries in Africa and the Arabian Peninsula.