Taiwan MOF Explains Calculation of Basic Income Tax Deductions for Investments in Pharmaceutical Companies

The Taiwanese Ministry of Finance March 15 explained the rules for deductions on investments in pharmaceutical companies. The announcement explains that: 1) the amount deducted over a three-year holding period is included in the personal basic income for each year; 2) the deduction is limited to NT$5 million (US$175,114) per year; and 3) the basic tax rate is 20 percent, and the difference must be paid when the basic tax amount is higher than the general income tax amount. [Taiwan, Taxation Administration, 03/15/22]

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