The Taipei National Taxation Bureau of the Ministry of Finance stated that when the public buys and sells shares of joint stock companies that are not listed (over the counter) and have not been registered for emerging over the counter, the securities buyer (that is, the representative collector) should collect 3 per thousand of the securities transaction tax on behalf of the public. Fill out the "Securities Transaction Tax General Tax Amount Payment Form (492)" to the financial institution to pay the securities transaction tax on the day after the transaction is completed.
The Bureau stated that the stocks issued by a joint stock company can be divided into two types: physical stocks and non-substantial stocks. The physical stocks should be issued after being approved by the visa bank in accordance with Article 162 of the Company Law; Article 2 stipulates that Taiwan Centralized Depository and Clearing House shall register the shares issued by it. The shares issued by the above two methods are all securities referred to in the Securities Transaction Tax Regulations, and shall be taxed in accordance with Article 2 of the Securities Transaction Tax Regulations when trading. A securities transaction tax of 3/1000 is levied. However, if a company limited by shares has not issued shares or has not issued a visa in accordance with the law, when the public buys and sells the shares of the company, because the subject matter of the transaction is not a securities referred to in the Securities Transaction Tax Regulations, no taxation will occur. The issue of securities transaction tax.
The Bureau calls on the public to confirm with the target company whether there are shares issued before buying shares of an unlisted (counter) and unregistered emerging company. Pay the securities transaction tax on the day after the transaction is completed, and keep the payment book properly after the payment is completed, so as to protect your own rights and interests. If you have any questions, you can call the toll-free service number of the Internal Revenue Service at 0800-000-321, and someone will provide consulting services.
(Contact person: Head of Section Three of Review; Tel 2311-3711 extension 1710)
Issued by: Taipei National Taxation Bureau, Ministry of Finance Release date: 2022-06-30 Update date: 2022-06-28