It has been reported that the Ministry of Finance proposed to introduce two new anti-avoidance rules which are currently under review by the Executive Yuan. If the new rules are passed by the Executive Yuan and Legislative Yuan, these rules are expected to take effect in 2015. The new rules are summarized below.
(a) Controlled Foreign Corporations (CFC)
Currently, there are no CFC rules in Taiwan and Taiwan companies are only taxed in Taiwan on income from foreign subsidiaries if the…