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Taiwan vs China
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇹🇼 Taiwan
vs
🇨🇳 China
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
5–40%
Stable system; cross-strait tax issues remain complex
No change
3–45%
Continued deduction reforms; threshold adjustments likely
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
5%
5% maintained; one of world's lowest VAT rates
No change
6–13%
13%/9%/6% structure maintained
No change

Corporate Tax Rate

Corporate Tax Rate
20%
20% maintained; Pillar Two compliance
No change
25%
Pillar Two implementation progressing
No change

Capital Gains Tax

Capital Gains Tax
0%
No CGT on securities; land value tax on property
No change
20%
National property tax reform bill still pending
No change

Social Security & Payroll

Social Security / Payroll
~31%
NHI funding adequacy review; labor insurance adjustments
No change
~36%
Gradual unification of social insurance base ongoing
No change
State, Regional & Local Taxes

🇹🇼 TaiwanMunicipal & County Tax Levies

Taiwan's 6 special municipalities (including Taipei, New Taipei, Kaohsiung), 3 cities, and 13 counties each levy local taxes including land value tax (1%–5.5% of announced land value), house tax (1.5%–3.6% on residential; 3%–5% commercial), and vehicle license tax. Land Value Increment Tax (LVIT) on land price gains is a major revenue source. The National Taxation Bureau administers national income and business taxes.

🇨🇳 ChinaProvincial, Municipal & Surcharge Taxes

China's 34 provincial-level regions vary in social insurance rates (employer contributions: ~16–23% depending on province). Cities impose Urban Maintenance & Construction Tax (1–7% of VAT paid). Education surcharges add 3–5%. Local governments levy land use taxes by city tier. Free Trade Zones often have preferential 15% corporate rates.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Taiwan vs China: Key Tax Differences (2026)

💰 Income Tax: 🇨🇳 China has a higher top income tax rate (5–40% vs 3–45%). 🇹🇼 Taiwan is more favourable for high earners.

🛒 VAT/Sales Tax: China has a higher consumption tax (5% vs 6–13%).

🏢 Corporate Tax: 🇹🇼 Taiwan offers a lower corporate rate (20% vs 25%), which can influence business location decisions.

📈 Capital Gains: 🇹🇼 Taiwan taxes investment gains at a lower rate (0% vs 20%), benefiting investors.

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