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Taiwan: Non-recognition of losses for failure to submit proper financial statements for CFCs

Affects eligibility for loss deductions over the past 10 years

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october 14, 2025

The National Taxation Bureau of the Southern Area, Ministry of Finance issued a reminder that profit-seeking enterprises must submit proper financial statements or supporting documents by the annual tax return deadline, with a possible six-month extension, when declaring controlled foreign company (CFC) losses.

Failure to comply will result in the non-recognition of losses under the CFC rules, affecting eligibility for loss deductions over the past 10 years.


For more information, contact a KPMG tax professional in Taiwan:

Vincent Lin | vincentlin@kpmg.com.tw

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