Taiwan MOF Clarifies Income Taxation of Securities Transactions for Profit-Seeking Enterprises

The Taiwanese Ministry of Finance March 26 clarified the income taxation of securities transactions for profit-seeking enterprises. The clarification includes that: 1) the profits from investing in domestically listed stocks, unlisted stocks, and domestic funds should be included in the basic income amount, even though corporate income tax is suspended for profit-seeking enterprises; 2) according to Article 4-1 of the Income Tax Act, income tax will no longer be levied on securities trading income; 3) gains from the disposal of domestic funds by profit-seeking enterprises are considered securities trading gains and fall within the scope of the income tax suspension ...