Taiwan Clarifies Direct or Indirect Holdings by Related Parties Must be Considered in Determining a CFC in a Low-Tax Jurisdiction

Taiwan's Ministry of Finance has issued a notice to clarify that when determining whether a foreign enterprise in a low-tax jurisdiction is a controlled foreign company (CFC), direct or indirect holdings by related parties must be considered.

---

Profit-seeking Enterprises Should Consider the Shares or Capital Ratios Held by Related Parties when Examining Controlled Foreign Companies Invested in Foreign Low-Tax Jurisdictions

The National Taxation Bureau of Taipei, Ministry of Finance st…