Taiwan 2026: 0% on foreign capital below the cap, but a hard visa

Taiwan applies territorial taxation: foreign-source dividends and capital gains are excluded from ordinary income tax and fall only under the Income Basic Tax (IBT). The IBT equals 20% of the portion of basic income above NT$7,500,000 a year, about €214,000, an allowance confirmed for 2026. Below that threshold, the Taiwanese burden is zero. Reporting becomes mandatory from NT$1M of foreign income, and a foreign tax credit applies above the threshold. Source: Income Basic Tax Act art. 12, PwC 2026.

Only the portion above NT$7,500,000 of basic income is taxed, and at 20% under the IBT, not the whole income. For example, basic income of NT$9M produces an IBT of 20% on NT$1.5M, that is NT$300,000. A foreign tax credit, capped at the additional IBT, offsets levies already paid elsewhere. The logic is therefore far gentler than a levy from the first euro. Source: Income Basic Tax Act, MOF 2026.

Capital gains on Taiwan-listed shares (TWSE and TPEx) are exempt from income tax: the country collects only a 0.3% transaction tax on the sale proceeds, a flow tax rather than a tax on the gain. Foreign-source gains, for their part, fall under the IBT described above, so zero below the NT$7.5M threshold. This is a very favorable framework for an equity investor. Source: PwC Tax Summaries 2026.

No, and this is the main obstacle. Taiwan offers no retirement visa and no visa based on passive income. The Gold Card, the best-known route, requires a qualified salary of at least NT$160,000 a month over the past three years, evidenced as salary: dividends and passive income are explicitly rejected. A genuine professional or entrepreneurial entry point is therefore required. Source: goldcard.nat.gov.tw, BOCA 2026.

The investor visa requires investing about USD 200,000 in an active Taiwanese business, with approval from the Ministry of Economic Affairs (MOEA) and turnover or spending requirements at renewal. A passive portfolio or a property purchase does not qualify: real activity is required. This route remains at five years for the APRC, against three years for qualified professionals. Source: immigration.gov.tw, MOEA 2026.

Since 1 January 2026, the Talent Act reform cuts the APRC timeline from five to three years for qualified professionals, and even to one year for high earners near NT$6M a year. Note: this acceleration covers the professional track only. The investor route stays at five years. The catch is therefore not the duration, but the initial access to an eligible permit. Source: Talent Act 2026, immigration.gov.tw.

Estate tax in the direct line follows a scale of 10% to 20%: 10% up to NT$56.21M, 15% up to NT$112.42M, 20% above, with a base allowance of NT$13.33M. Crucially, for those domiciled there, the base is worldwide, not only Taiwanese. For a large estate, this tax can weigh more than the income saving, and deserves dedicated planning. Source: MOF Taiwan 2026.

A couple lives comfortably on €2,000 to €3,000 a month in Taipei, and noticeably less in Kaohsiung. A three-room apartment in the city runs around €1,000 a month, a restaurant meal for two €35, a pint €3. Buying remains expensive in Taipei: about €8,000 per square meter downtown, €5,000 in the suburbs. With outstanding services, transport, and healthcare, real purchasing power is better than the index suggests.

Yes for daily life. Taiwan ranks 40th out of 163 on the 2025 Global Peace Index (score 1.730), with low crime and very safe urban life, including at night. The real issue is not personal safety but the geopolitical context of the strait, to be weighed calmly in a long-term decision. Source: Institute for Economics and Peace, Global Peace Index 2025.

Taiwan has a universal health insurance system (NHI) renowned for its quality, short waiting times, and moderate cost, which foreign residents join after a period of residence. Hospitals in the major cities are of a very high standard and English is often spoken in international departments. Many expatriates cite healthcare among the country's foremost strengths. Source: National Health Insurance Administration, 2026.

Fairly, yes. The New Taiwan dollar (TWD) trades around 37 to the euro, with annual volatility of roughly 5% to 7% and inflation kept near 1.8%. That is less volatile than many emerging-market currencies, but more than income held directly in your home currency. Keeping part of your capital in your home currency smooths this exchange-rate exposure. Source: central bank of Taiwan, 2026.

Taipei concentrates qualified jobs, leading hospitals, and international schools, but remains the most expensive city. Kaohsiung, in the south, offers a warmer climate, a lower cost of living, and its own international airport. The high-speed rail links the north of the island to the south in under two hours, which makes life outside Taipei very practical. Source: local data, 2026.