Taiwan has no standalone digital asset law or dedicated tax framework.
Instead, the Ministry of Finance has confirmed that crypto gains fall under the existing Income Tax Act (所得稅法), with tax treatment determined by the nature of the activity and the exchange on which it takes place
Capital Gains Tax Rules
Taiwan does not operate a capital gains tax regime for individuals.
There is no separate CGT schedule, and the concept of a “disposal” triggering a capital gain does not exist in Taiwanese personal tax law. Instead, any realised profit from selling or exchanging cryptocurrency on a domestic platform is treated as income from property transactions and included within the individual’s annual taxable income, assessed under Article 14 of the Income Tax Act.
How tax is calculated
The gain on a crypto transaction is broadly calculated as the proceeds of disposal minus the original acquisition cost. Where cryptocurrency is purchased on a domestic exchange and later sold, the difference is classified as property transaction income.
This amount is then aggregated with other income sources and taxed at the applicable progressive rate, which runs from 5% (on annual net taxable income up to NTD 560,000) to 40% (on income above NTD 4,720,000).
For overseas-sourced income, a separate AMT calculation applies. If an individual’s total overseas income (including profits from foreign crypto exchanges) is below NTD 7.5 million in a tax year, it generally does not trigger additional AMT liability. Amounts above this threshold may be assessed under the Basic Income Tax Ordinance (所得基本稅額條例).
You should note that the classification of overseas crypto income can be complex depending on whether the exchange and counterparty are both located abroad.
Record keeping
Taiwan’s tax authority requires individuals to maintain records sufficient to substantiate the cost basis and proceeds of property transactions.
For crypto, this means retaining exchange statements, transaction histories, wallet records, and any receipts evidencing original purchase price. Records should be kept for a minimum of five years, consistent with general tax documentation requirements.
Income Tax Rules
For individuals, cryptocurrency profits arising from trading on domestic Taiwanese exchanges fall within the ordinary income framework under Article 14 of the Income Tax Act.
This provision covers income from property transactions and is the primary basis under which the Ministry of Finance has confirmed crypto profits are taxable. There is no de minimis exemption for small gains.
Any realised profit is in principle taxable, though as a practical matter, very modest amounts may be absorbed within the standard deductions and personal exemptions available in the individual tax return.
Where an individual receives cryptocurrency as payment for services or employment, this is treated as income in the ordinary sense and taxed at the individual’s applicable marginal rate. The value of the crypto at the time of receipt is the relevant measure for income purposes, with any subsequent gain on disposal assessed separately as a property transaction gain.
Corporate taxpayers earning income from crypto trading are subject to the 20% flat corporate income tax on net profits.
For profit-seeking enterprises conducting frequent crypto transactions, an approximately 5% business tax (Taiwan’s equivalent of VAT) may also be levied on trading turnover, depending on how the activity is characterised.
As of 2026, the Ministry of Finance has not issued comprehensive guidance covering all forms of DeFi income, staking returns, or airdrop receipts, and these should be treated conservatively as taxable income pending further clarification.
Mining and Staking Treatment
Mining
Taiwan has not issued specific tax guidance on cryptocurrency mining as of 2026.
Applying general principles under the Income Tax Act, mining income would most likely be treated as ordinary business income for individuals operating mining as a trade or business, and assessed at progressive personal income tax rates.
For corporate entities, mining revenues would fall within standard corporate income subject to the 20% rate. Miners may be able to deduct legitimate business expenses, such as hardware depreciation and electricity costs, against their mining income, subject to standard expense substantiation requirements.
The classification of hobby mining versus business activity would affect deductibility and reporting obligations, as is common in most countries.
When mined cryptocurrency is subsequently sold or exchanged, any difference between the fair market value at the time of receipt (which formed part of the original income base) and the eventual disposal proceeds would give rise to additional property transaction income. This two-stage tax treatment means miners must carefully track the value of each coin at the point of receipt as well as at disposal.
Staking
Specific guidance on staking income had not been issued by the Ministry of Finance as of 2026.
By analogy with mining and the treatment of other forms of crypto yield, staking rewards would most likely be characterised as ordinary income at the point of receipt, with the market value of the tokens on the date received forming the taxable amount. The subsequent disposal of staked tokens would then be assessed as a property transaction, with the original receipt value serving as the cost base.
As Taiwan’s framework is based on administrative interpretation rather than codified crypto-specific legislation, individuals engaging in staking should seek advice based on their specific circumstances and the evolving guidance from the National Taxation Bureau.
NFT Taxation
Taiwan has not issued specific tax guidance on NFTs as of 2026.
Under the general principles of the Income Tax Act, the tax treatment of an NFT would depend on how it is held and used. For an individual investor who purchases an NFT and later sells it at a profit, the gain would most likely be characterised as income from a property transaction under Article 14, and taxed as ordinary income at the relevant progressive rate.
For creators who mint and sell NFTs commercially, the income from those sales would constitute business income, subject to progressive personal income tax if operating as an individual, or corporate income tax at 20% if operating through a company. Ongoing royalty income from secondary NFT sales would similarly be treated as business or miscellaneous income in the period it is received.
On the indirect tax side, Taiwan’s business tax regime (approximately 5% VAT equivalent) may apply to NFT sales by profit-seeking enterprises, depending on whether the activity constitutes a taxable supply. Individuals selling NFTs infrequently for personal investment purposes may not be required to register for business tax.
Reporting Requirements
Individual taxpayers in Taiwan report all income on their annual individual income tax return. The tax year runs from 1 January to 31 December, and returns are due by the end of May of the following year.
Crypto income from domestic platforms should be included in the “income from property transactions” category within the return. Overseas income, including profits from foreign exchanges above the NTD 7.5 million threshold, is reported separately under the AMT framework using the Basic Income Tax return.
All amounts must be converted to New Taiwan Dollars (NTD) for reporting purposes. The exchange rate at the date of each transaction is used to determine the NTD value of proceeds and cost base. Taxpayers have to use the rate published by the Bank of Taiwan or a comparable authorised source.
Individuals receiving cryptocurrency as employment income must ensure their employer has properly withheld and reported the income through the standard payroll system. Where no withholding has occurred, the individual is responsible for self-reporting the income. Corporate taxpayers must include crypto trading results in their corporate income tax return, filed annually within five months of financial year end.
Record-keeping obligations require that taxpayers retain transaction records, exchange statements, and supporting documentation for a minimum of five years.
The National Taxation Bureau may request records during a compliance audit. Taiwan has committed to implementing the OECD Crypto-Asset Reporting Framework (CARF), and international information exchange is expected to increase, reinforcing the importance of accurate self-reporting.
Penalties
Taiwan’s tax penalty framework under the Tax Collection Act applies to failures to report income, underreporting, or evasion. Where a taxpayer fails to declare income, the tax authority may impose a penalty of between one and three times the amount of tax evaded, depending on the degree of culpability and whether the failure was deliberate or negligent. Negligent omissions generally attract lower penalties, while deliberate concealment carries the maximum multiplier.
In addition to penalties on the unpaid tax itself, interest accrues on outstanding amounts at the statutory rate from the original due date until payment. This compounds the financial cost of non-compliance over time, particularly for large undisclosed positions held over multiple years.
