Taiwan Issues Notice on Basic Income Eligible for Exemption from Income Basic Tax and Related Deductions for 2023

Taiwan's Ministry of Finance has issued a notice on basic income eligible for an exemption from income basic tax and related deductions for 2023. The income basic tax (IBT) is essentially an alternative minimum tax levied at a rate of 12% for enterprises and 20% for individuals. The notice provides that the deduction/exemption amount for the IBT for 2023 is increased from TWD 500,000 to TWD 600,000 for enterprises due to an increase in the applicable CPI for enterprises that met the 10% incr…