Taiwan To Offer Shipping Tax Breaks
Tuesday, March 2, 2010
The government is looking to introduce measures in 2010 in an attempt to increase
the competitiveness of Taiwan’s ports and, thereby, expand its shipping
industry, not only with regard to cross-strait trade with China, but also globally.
In particular, following a reported fall of almost 10% to 605m tons in goods
handled in Taiwan last year, partly due to the economic recession, the government
now intends to persevere in developing the country’s free ports.
Although 63 companies are already to be found in those ports, further businesses
will be encouraged to establish operations there. In particular, foreign companies
will be given an exemption from Taiwan’s business income tax when keeping
and/or reprocessing their merchandise in any of the free ports, before subsequent
It is also reported that the exemption will be given if a foreign company imports
into Taiwan less than 10% of its total sales.
Infrastructure at all of Taiwan’s ports will also be improved. This will
include the setting up of a single ports authority to oversee their operations,
and the introduction of a 24-hour computerized programme for shipping services.
In addition, Taiwanese shipping companies will be encouraged to re-register
their vessels back to Taiwan.