Taiwan Representative Office Registration Package #TWRO13
This package covers all formalities required for the registration of a representative office in Taiwan, including the provision of registered office after registration and Litigious and Non-Litigious Agent for the first year and opening of bak account except legalisation of identification documents of the foreign company.
If a foreign company only intends to set up an establishment Taiwan to carry general supporting activities, such as marketing research and development, liaison with suppliers and customers and preliminary procurement work, it may set up the establishment as a representative office, instead of setting up a branch or a subsidiary company.
1. Features of Representative Office
(1) Legal status of an RO
The RO is a non-legal entity operating representing its parent company. A RO is not allowed to engage itself in business activities, issue invoices on its own, remitting outward, signing sales or purchase contracts, or receiving income from services performed but may act as a liaison and promotion office for its parent company.
The apparent intention of limiting representative offices to "non-direct business activities" is to ensure that representative offices act on behalf of the foreign-based companies they represent and not on their own behalf as separate business entities. Thus contracts signed by the representative office (other than those relating to its own administration, such as its office lease) should be signed in the name of its parent company or one of its affiliates, not in the name of the representative office itself. Such contracts should also show an address outside of Taiwan for the relevant foreign party. Any sale and subsequent billing and collection of money for technical, consulting, inspection, or other services should similarly be carried out by the parent company or one of its affiliates, not the representative office. Based on the regulations, representative offices should not perform the functions of a "service centre".
(2) Name of the RO
The name of the RO should be in the form of “Name of Country where the investor is registered + Name of the Enterprise?
Example: HK Kaizen Corporate Services Limited
(3) Business Address
Before submitting the application for the registration of the RO, it is required that an office premise which is to be used by the RO by taken and a tenancy agreement for that office premise be executed. The tenancy agreement is one of the documents to be submitted to the Investment of Commission, Ministry of Economic Affair for the purpose of registration.
Please note the business address must be located in commercial buildings.
No registered capital is required
(5) Litigious and non-litigious agent (35380;35359;21450;38750;35380;35359;20195;29702;20154;)
The parent company is required to appoint a person to act as Litigious and non-litigious agent for the Taiwan RO. The responsibility of the agent is to consult, do quotation, to contact, to do tendering work, to sign contracts and to procure for the company in Taiwan, and represent the company to do all the compliance and maintenance in accordance with Taiwan regulation,
2. Pre-registration and Registration Procedures
2.1 Preliminary
(1) Lease of Office Space
Firstly, the investor will have to enter into a tenancy agreement in relation to the office space to be used by the Representative Office for a term of not less than 12 months. The office must be located in a commercial building.
(2) Legalization of Identity Documents of the investor
The investor is also required to arrange to have its incorporation documents legalised by the Taiwan Embassy in the country where it is registered.
(3) Legalization of Power of Attorney for appointing Litigious and non-litigious agent
Also, the investor needs to arrange with the legalization of Power of Attorney which is required to be legalized by the Taiwan Embassy in the country where it is registered.
(4) Other Documentation
The investor at the same time needs to prepare other documents, such as photocopy of passports/Hong Kong Identity card/Home Returning Card of the Representative.
2.2 Time Frame
The table below shows the estimated time frame for each of the steps for the registration process.
Step |
Description |
Who is responsible |
working days |
Preliminary |
|
|
1 |
Legalization of Incorporation Documents |
Investor |
Investor’s schedule |
2 |
Tenancy (Lease) Agreement (for the office to be used by the RO) |
Investor |
Investor’s schedule |
3 |
Legalization of Power of Attorney |
Investor |
Investor’s schedule |
Application for Registration |
|
|
5 |
Application for Certificate of Registration for the RO from the Investment of Commission, Ministry of Economic Affair |
Kaizen |
20-30 |
6 |
Graving of Common Seal |
Kaizen |
2 |
7 |
Tax registration |
Kaizen |
2-3 |
Total |
|
Approx.
5-6 weeks |
3. Documents required for application
You are responsible for the preparation of the following information and documents:
(1) A set of legalised (by Taiwan Embassy or Consulate in the country where the applicant company is registered) incorporation documents (Certificate of Incorporation and Business Registration Certificate and Register of Director and Register of Members) of the investor. For a company registered in Hong Kong, the incorporation documents shall be notarized by the notary public in Hong Kong and then legalized by Taipei Economic and Cultural Representative Office.
(2) A set of legalized (by Taiwan Embassy or Consulate in the country where the applicant company is registered) Power of Attorney for appointing Litigious and non-litigious agent. For a company registered in Hong Kong, the Power of Attorney shall be notarized by the notary public in Hong Kong and then legalized by Taipei Economic and Cultural Representative Office.
(3) 2 sets of original Lease Agreement of the office premise to be used by the RO; the lease term should not be less than 12 months. Please note that the Lease Agreement shall be signed by the representative.
(4) A letter of consent to use the property
The letter of consent should be issued and signed by the owner of the property. The letter should state clearly the owner allow the RO to use its address as registered address.
(5) Photocopy of Property Duty- pay tax receipt (25151;23627;23436;31237;31237;21934;) or photocopy of the property ownership certificate of the premise
(6) A brief summary of the operations and business of the investor, such as the principal business activities, registered address, contact phone number, name of the applicant company; the address and contact number of the managing director of the applicant company.
(7) A copy of passport and address proof of the Litigious and non-litigious agent.
4. Registration Costs
(1) Registration Services Fees
Our fees for handling the registration of a Representative Office in Taiwan for a foreign company is USD 2,000 (tax exclusive).
Please note the Business Tax of 5% would be applicable if tax receipt (Fapiao) is required.
The above service fees do not cover official registration fees and filing fees of around USD 50. The official registration filing fees will be billed separately with supporting official receipt issued by the Chinese Government.
(2) Translation Costs
Our service charges stated above do not cover the translation costs for translating the documents prepared by you from English to Chinese. The cost for translation is around USD25 per page of A4 size. We will arrange the translation on your behalf and the translation cost will be billed separately with supporting official tax receipt issued by third party translating company.
(3) Documents Legalisation
Our fees quoted above do not cover the legalisation of the identity documents and the Power of attorney of the investor. As required by the regulations, the identity documents and the Power of attorney of the investor are required to be legalised by the Taiwna Embassy in the country where the investor is registered.
If the company applying to set up the RO is a Hong Kong company, we can assist you to arrange the legalisation. Our fee is USD 1,100.
(4) Registered Office Service
Please note that office space is required for Taiwan company. If you want to
engage our registered office service, we will have service charge of USD 1,850
per annum.
(5) Establishment of corporate account
We can assist you to open corporate bank account in Taiwan and our charge is USD 425. Please note that the physical presence of the director of the Taiwan Company in bank meeting is required.
5. Going Forward
If you have already committed to the registration of a RO in Taiwan, you could start preparing the documents listed above.
Please feel free to contact us if you have any questions in relation to the above.
Kind regards
Table 1 Summary of Costs
Summary of costs related to the registration of a RO in Taiwan:
Item |
Description |
Amount
(USD) |
1 |
Our service fees |
2,000 |
2 |
Legalisation fee* |
1,100 |
3 |
Official filing/registration fees (estimated) |
50 |
4 |
Registered Office Service/ per annum |
1,850 |
5 |
Establishment of corporate account |
425 |
6 |
Disbursements |
50 |
|
TOTAL |
5,475 | |