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[ESTABLISHING A BUSINESS ENTITY IN TAIWAN]
to repatriate 100% of its total equity investment. According to Article 40-1 of the Act Governing Relations between the People of the Taiwan Area and the Mainland Area, a PRC entity is required to obtain approval from Taiwan competent authorities and establish a branch or representative office in Taiwan before it may conduct any business activities in Taiwan. Subject to the IC approval, PRC investors may also invest in a company in Taiwan. However, the business scope of the Taiwan branch of a PRC- invested entity or the Taiwanese company invested by PRC investors shall be limited to the permitted businesses on the list promulgated by the IC from time to time. Any capitalisation obligations In general, a branch/company (either a limited company or company limited by shares) is not subject to any minimum capital requirement as long as (i) its capital is sufficient to cover the costs and expenses for incorporating and operating the • branch/company; and (ii) it does not operate any of the businesses to which specific minimum capital requirements applies. Please note that a branch/company must have paid-in capital of at least NT$500,000 if its branch manager/general manager is a foreign national and is on its payroll. If a branch/company wants to employ any foreign national other than the branch manager/general manager, it must have minimum paid-in capital of NT$5,000,000.
permit, which must be applied for by his/her employer. The employer may apply to the competent authority for a work permit for a foreign employee whose work falls within the prescribed categories, such as specialists and/or technical personnel, or officers in enterprises invested by foreign investors and duly approved by the IC.
Foreign exchange regulations
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Only outward remittances, other than items (1) to (5) below and any inward or outward remittances exceeding the prescribed ceilings noted below, would require the approval of the Central Bank of the Republic of China (Taiwan) (CBC): (1) Inward and outward remittances for foreign trade in goods; (2) Inward and outward remittances for services; certain inward and (3) Direct investments and portfolio investments approved by the competent authorities; (4) Inward or outward remittances made by a company or firm of an aggregate amount not exceeding US$50 million in a calendar year, or by an organization or individual of an aggregate amount not exceeding US$5 million in a calendar year, respectively, or such other amount as determined by the CBC from time to time at its discretion in consideration of Taiwan's economic and financial conditions or the needs to maintain the order of foreign exchange market in Taiwan; and (5) Inward or outward remittances made by a foreign individual who does not have an alien residence certificate or a person from a jurisdiction not recognized by Taiwan government as allowed to do business in the
Any special business or investment visa issues
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According to the Employment Services Act, which was promulgated on May 8, 1992, and last amended on May 10, 2023, no foreign national may work in Taiwan without a work
ILN Corporate Group – Establishing a Business Entity Series
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