2009-08-11 11:15:16

In case an entity is approved to conduct investment activities in foreign countries in compliance with Industrial Promoting Act and The Guidelines for Examination of Profit-seeking Enterprise Income Tax, an amount of no more than 20% of total offshore investing capital can be recognized as offshore investment losses reserve in the year that investing capital is transferred. To be noted, if an entity plans to recognize offshore investment losses reserve, application for approval or evaluation shall be submitted to Investment Commission of MOEA before processing offshore investment. In the same year as conducting offshore investment, documents related must be submitted to local tax collecting agency for recognize of losses reserve.