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Taiwan Tax Information

5% business tax

Business tax is 5% VAT. Uniform invoices required for most transactions. Tax ID required.

Contractor Services to Invoice

  • Labor charges
  • Material costs
  • Equipment rental
  • Permit fees
  • Subcontractor work
  • Change orders
  • Warranty work

Invoice Requirements in Taiwan

Tax ID (統一編號)
Company address
Client Tax ID
Invoice number
Business tax
Total in TWD

Payment Terms

Progress billing at milestones. Retain 5-10% until final inspection.

現金月結30天月結60天貨到付款

Payment Methods in Taiwan

Bank TransferLINE PayCredit CardCash

Contractor Invoice Tips

  • Break down materials and labor
  • Reference permits
  • Document change orders
  • Include lien waiver language
  • Track progress payments

Frequently Asked Questions

What tax rate applies to contractor invoices in Taiwan?

Taiwan has 5% business tax. Business tax is 5% VAT. Uniform invoices required for most transactions. Tax ID required.

What payment methods are common for contractors in Taiwan?

Common payment methods in Taiwan include: Bank Transfer, LINE Pay, Credit Card, Cash. Progress billing at milestones. Retain 5-10% until final inspection.

What should contractor invoices include in Taiwan?

Your invoice should include: Tax ID (統一編號), Company address, Client Tax ID, Invoice number. For contractor services specifically, also include: Labor charges, Material costs, Equipment rental.

How should contractors bill for projects?

Progress invoicing at milestones. Break down labor, materials, and subcontractor costs.

How do contractors handle material markup?

15-25% markup is standard. State policy in contracts.

What is Taiwan's business tax rate?

5% VAT on most goods and services. Some are zero-rated or exempt.