DT18506 | Double Taxation Relief Manual: Taiwan: royalties

The Taiwanese tax deducted from royalties at the agreement rate of 10 per cent qualifies for credit as a direct tax.

The reduction to the above rate is not given if the interest is effectively connected (see INTM153110 fifth sub-paragraph) with a business carried on by the United Kingdom resident recipient through a permanent establishment in Taiwan or with a fixed base in Taiwan from which they perform professional services.