How to calculate income tax in Taiwan (China) for 2026

Taiwan (China) taxes residents on salary with progressive rates from 5% to 40%, after deductions, and social insurance is small. A resident on NT$1,200,000 pays NT$45,620 in income tax and keeps about NT$1,122,028 (93.5%). You are a resident once you stay 183 days or more in a calendar year. Before that, a non-resident pays a final withholding of 18% on pay above a low monthly threshold.

Work out your own pay

What the law says

The figures below are the 2026 rules as the calculator models them, for an employee. Taiwan (China) decides residency by days, not by visa: if you spend 183 days or more in Taiwan in a calendar year, you are a resident for that year and taxed on your Taiwan-source salary on the progressive scale. If you spend fewer, you are a non-resident taxed on a flat basis. The tax year is the calendar year, and the return is filed in May of the next year.

Tax rates for residents

Rates apply to net taxable income. Net taxable income is your salary less a salary special deduction (up to NT$227,000), a standard deduction (NT$136,000 for a single person and NT$272,000 for a married couple) and personal exemptions (NT$101,000 each in the calculator, with an extra amount for each child that you can enter).

Net taxable incomeRate
Up to NT$610,0005%
NT$610,001 to NT$1,380,00012%
NT$1,380,001 to NT$2,770,00020%
NT$2,770,001 to NT$5,190,00030%
Over NT$5,190,00040%

Tax for non-residents

If you are in Taiwan (China) for fewer than 183 days in the calendar year, your employer withholds a flat rate on salary and the withholding is final. The calculator uses 6% when monthly pay is at or below NT$44,250 and 18% above it, with no deductions. If you cross 183 days later in the same calendar year, you file as a resident in May and the withholding is credited against your tax.

Gold Card relief

Holders of the Employment Gold Card, for foreign professionals, can exclude half of the salary above NT$3,000,000 from taxable income under the Foreign Professionals Act. The calculator applies it to the salary after the special deduction. The relief is limited in time, so check with the National Taxation Bureau how long it lasts for you.

Social insurance

Employees pay labour insurance (12.5% rate, 20% employee share, on pay up to NT$45,800 a month) and national health insurance (5.17% rate, 30% employee share, on pay up to NT$219,500 a month), so contributions are small and capped. Employers pay the larger shares on top.

Sources

Worked examples

Rules for Income 2026. Every amount below is worked out by the calculator's own engine, the same one the tool runs.

How to calculate income tax in Taiwan (China) on NT$1,200,000 as a resident

This is a single resident on NT$1,200,000. The salary special deduction is NT$227,000 and the exemption and standard deduction together are NT$237,000, so net taxable income is NT$736,000. That is in the 12% band, giving NT$45,620 of tax. Labour insurance is NT$13,740 and health insurance is NT$18,612. You keep about NT$1,122,028, or 93.5% of gross.

  1. Gross paya year, before taxNT$1,200,000
  2. Labour insurance, employee sharecontribution, taken from pay−NT$13,740
  3. National health insurance, employee sharecontribution, taken from pay−NT$18,612
  4. Salary special deductionlowers the taxable incomeNT$227,000
  5. Exemptions and standard deductionlowers the taxable incomeNT$237,000
  6. Individual income taxtax, taken from pay−NT$45,620
  7. Take-home pay93.5% of gross, NT$93,502 a monthNT$1,122,028

The marginal rate is 13.6%. Social insurance is small because of the caps, and there is no pension contribution deducted from pay in this model.

Open this example in the calculator → The next 1% of pay loses 13.6% to tax and contributions.

Taiwan (China) non-resident tax: what NT$600,000 pays under 18% withholding

This is a non-resident paid NT$600,000, who has not yet been in Taiwan 183 days in the calendar year. Monthly pay is above NT$44,250, so withholding is 18%, or NT$108,000, with no deductions. Labour insurance is NT$13,740 and health insurance is NT$9,306. You keep about NT$468,954, or 78.2% of gross.

  1. Gross paya year, before taxNT$600,000
  2. Labour insurance, employee sharecontribution, taken from pay−NT$13,740
  3. National health insurance, employee sharecontribution, taken from pay−NT$9,306
  4. Withholding, non-resident (18%, final)tax, taken from pay−NT$108,000
  5. Take-home pay78.2% of gross, NT$39,080 a monthNT$468,954

If you pass 183 days in the year, you file as a resident in May and the same salary is taxed on the progressive scale. The excess withholding is refunded, so for most arrivals who stay, the 18% is a cash-flow cost. A resident on the same NT$600,000 would pay about NT$6,800 in income tax.

Open this example in the calculator → The next 1% of pay loses 19.6% to tax and contributions.

How much tax does a Gold Card holder pay in Taiwan (China) on NT$5,000,000?

This is a resident Gold Card holder on NT$5,000,000. After the salary special deduction, salary is NT$4,773,000. Half of the part above NT$3,000,000 (NT$886,500) is excluded, and the NT$237,000 of exemption and standard deduction comes off as well. Net taxable income is NT$3,649,500, taxed at NT$664,750. Health insurance is NT$40,853 and labour insurance is NT$13,740. You keep about NT$4,280,657, or 85.6% of gross.

  1. Gross paya year, before taxNT$5,000,000
  2. Labour insurance, employee sharecontribution, taken from pay−NT$13,740
  3. National health insurance, employee sharecontribution, taken from pay−NT$40,853
  4. Salary special deductionlowers the taxable incomeNT$227,000
  5. Gold Card exclusion (50% above 3M)lowers the taxable incomeNT$886,500
  6. Exemptions and standard deductionlowers the taxable incomeNT$237,000
  7. Individual income taxtax, taken from pay−NT$664,750
  8. Take-home pay85.6% of gross, NT$356,721 a monthNT$4,280,657

Without the Gold Card exclusion the same salary would pay NT$930,700 of income tax, so the relief is worth NT$265,950 here. The marginal rate on extra pay is 15.0%, half of the 30% band.

Open this example in the calculator → The next 1% of pay loses 15.0% to tax and contributions.

How to pay less tax, legally

These are mainstream, legal ways to reduce Taiwanese tax. Which ones apply depends on your residency and visa.

Count your days and file as a resident

Suits: anyone who arrives, or leaves, part-way through a calendar year. Residency depends on 183 days in the calendar year, not on the date you start work. If you pass 183 days you can file in May as a resident and recover withholding taken at the non-resident rate.

Caveat: you need your residence certificate and tax ID to file, and you must keep your entry and exit records. Plan arrival and departure dates with the 183 days in mind.

Apply for the Employment Gold Card relief

Suits: foreign professionals paid more than NT$3,000,000. Half of the salary above that figure is excluded from taxable income, as in the NT$5,000,000 example.

Caveat: you need a Gold Card and the relief is time-limited. Check the conditions with the National Taxation Bureau.

Claim itemised deductions in the May return

Suits: residents whose eligible expenses exceed the standard deduction, such as donations, insurance premiums, medical costs or rent. You can choose itemised deductions instead of the standard one.

Caveat: each item has its own cap and receipts are required. The calculator only uses the standard deduction.

Voluntary labour pension contributions

Suits: employees covered by the labour pension scheme. Voluntary contributions of up to 6% of monthly pay are deductible from income.

Caveat: not every foreign employee is covered by the scheme, and the money is for retirement. Ask your employer.

What the calculator does not model

  • Employment income only. It models one salary for a full year. It does not cover investment income, a business or a part year.
  • No bonuses or equity. Year-end bonuses, employee share awards and allowances are not modelled separately.
  • Standard deduction only. The calculator does not use itemised deductions, and the surcharges and credits for savings and investment are not included.
  • You pick the status. The calculator does not count your days, so it will not tell you whether you pass the 183-day test.
  • Social insurance simplified. The supplementary health premium on bonuses and other items is not included.
  • No monthly cash flow. It works out the full-year tax, so a payslip with withholding at a different rate will differ.
  • No tax treaties or foreign tax credits. Income taxed in your home country is not offset here.

General information, not tax advice. The figures follow the rules as published for the year shown. Check the ones that matter to you with the tax authority or an adviser before you sign a contract.

Frequently asked questions

How much tax do I pay on NT$1,200,000 in Taiwan (China)?

A single resident pays about NT$45,620 in income tax and NT$32,352 in social insurance, keeping about NT$1,122,028. A non-resident on the same salary pays 18% withholding, or NT$216,000. Try your own figure in the Global Income Tax Calculator.

What is the 183-day rule in Taiwan (China)?

If you are physically in Taiwan for 183 days or more in a calendar year, you are a resident for that year. The count is by calendar year (1 January to 31 December), not from your arrival date, so a person who arrives in July is often a non-resident in the first year and a resident in the second. Residents are taxed on the progressive scale with deductions, while non-residents face a flat withholding.

Why does my employer withhold 18% if I am about to become a resident?

Your employer cannot know in advance that you will reach 183 days, so until then it withholds at the non-resident rate. Once you pass 183 days, you file as a resident in May of the next year, and the tax is recalculated on the progressive scale. Any excess withholding is refunded, which is why an arrival often gets a large refund in the following May.

The calculator shows each status as a full-year figure, so your payslips will differ.

When is the tax return due in Taiwan (China)?

The filing season is May each year, for the previous calendar year's income. Taxpayers can file online or at the tax bureau. Your employer gives you a withholding statement early in the year. Check the exact dates and the e-filing options on the National Taxation Bureau site.

How does the Gold Card tax relief work?

Gold Card holders can exclude 50% of salary above NT$3,000,000 from taxable income, so only half of that slice is taxed. On NT$5,000,000 the calculator excludes NT$886,500, cutting the tax by NT$265,950. It is time-limited, so confirm the conditions and period with the tax authority.

How far does a Taiwan salary go?

Take-home pay is only half the picture. Compare what it buys in Taipei with your home city in the Cost of Living Comparator.

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