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10.1. Holding Regimes

There is no formal tax regime for holding companies in Taiwan. However, Dividends received by a Taiwan enterprise from another Taiwan enterprise are exempt from tax (see Sec. 8.1.). Moreover, Taiwan does provide certain incentives under the Taiwan Business Mergers and Acquisitions Act. In regard to holding companies, the act allows for consolidated filing at the holding company level for subsidiaries resident in Taiwan in which the holding company holds at least 90% of the shares, and has held them for at least 12 months. Additional incentives related to mergers and acquisitions are covered below.