Overseas Income Tax (AMT)TW-specific
Taiwan's minimum tax regime applies a 20% flat rate on foreign income above the NT$7.5M exemption. Foreign nationals and locals investing in US stocks, holding foreign property, or earning foreign salary need this calculator.
Three key thresholds
- NT$1,000,000 inclusion: household overseas income below this is fully exempt from AMT calculation
- NT$7,500,000 exemption: subtracted from basic income amount (2024 figure, adjusts every 3 years)
- 20% rate: applied to taxable basic income above exemption
Final tax = max(regular income tax, basic tax). See AMT article for detailed scenarios.
Frequently asked
- When do I need to file overseas income?
- Once your household's total annual overseas income reaches NT$1M. 'Overseas income' includes US stock dividends (VTI, VOO, etc.), capital gains from foreign stocks sold, foreign bank interest, foreign rental income, and foreign insurance maturity payouts. If you only hold Taiwan stocks and no foreign assets, you usually won't need this calculator.
- Are the NT$1M threshold and NT$7.5M exemption the same thing?
- No. The NT$1M is the inclusion threshold: below it, overseas income is fully excluded. The NT$7.5M is the basic-income exemption: total basic income (salary + overseas + other items) minus NT$7.5M is taxed at 20%. Example: NT$2M overseas + NT$6M salary = NT$8M basic; (8M − 7.5M) × 20% = NT$100K basic tax.
- If I already paid regular income tax, do I owe AMT on top?
- No — final tax = max(regular tax, basic tax), not both. If regular tax already exceeds basic tax, you owe nothing extra. If basic tax exceeds regular tax, only the difference is owed. The tool computes the delta directly.
- Are US ETF dividends counted toward the NT$1M threshold?
- Yes. Distributions from VTI, VOO, QQQ, etc. count as overseas dividend income. The 30% US withholding tax is already deducted at source, but the gross amount still flows into Taiwan's calculation. You can claim a foreign tax credit (limited to the proportional Taiwan tax), which usually offsets a meaningful share of the US withholding.
- Do I report unrealized US 401(k) / IRA balances?
- Not while inside the account — that's deferred tax. When you withdraw in retirement, the withdrawal amount becomes overseas income for that year and feeds AMT. Plan ahead if you'll be drawing from a 401(k) in Taiwan; the US-Taiwan tax treaty helps avoid double taxation.
- Does the tool store my income data?
- No. All calculations run locally in your browser. Nothing is sent or persisted.