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Taiwan Stock Dividend TaxTW-specific

Each year during tax filing, Taiwan stock dividends can be reported via combined filing (with 8.5% credit, capped at NT$80,000) or separate 28% flat tax. Pick wrong and you may overpay by tens of thousands. This tool gives the side-by-side comparison based on your marginal bracket.

Inputs

Only domestic Taiwan-stock dividends are included. US stocks and other overseas distributions fall under thealternative minimum tax (AMT) and are outside this calculation.

2024 brackets: 0–NT$560K 5%; –NT$1.26M 12%; –NT$2.52M 20%; –NT$4.72M 30%; above 40%.

The "tax due excluding dividends" line on your filing. If unsure, enter 0 to see only the dividend-portion gap.

Results
Lower-tax option
Combined-tax with 8.5% credit
Saves about NT$49K vs. the other option
Combined-taxSeparately-taxed
Dividends added to taxable incomeNT$24KNT$56K
8.5% dividend credit−NT$17K—
Final tax dueNT$57KNT$106K

Formula: Combined-tax = base income tax + dividends x marginal rate − min(dividends x 8.5%, NT$80K); Separately-taxed = base income tax + dividends x 28%. The lower of the two applies. For joint filings, each spouse may choose independently.

Quick decision

  • Marginal rate ≤ 30%: combined filing almost always wins
  • Marginal rate = 40%: separate 28% wins (40% − 8.5% = 31.5% > 28%)
  • Credit cap reached at dividend ≈ NT$940K per household per year

Note: this only applies to Taiwan-sourced stock dividends. US/foreign stock dividends fall under the AMT regime (see Overseas Income Tax).

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