Taiwan MOF Issues Guidance on Construction Project Revenue Reporting for 2025 Income Tax Settlement

The Taiwanese Ministry of Finance April 8 clarified construction project reporting, for 2025 profit-seeking enterprise income tax settlement declarations. The clarification includes that: 1) if a construction project contracted by a profit-seeking enterprise in an accounting period is completed, the total project price should be fully reported in the operating income, regardless of whether the project payment has been received; 2) under the Income Tax Act, the profit-seeking enterprises should adopt the accrual basis of accounting; 3) under regulations on audits, a profit-seeking enterprise’s completion of a project is the actual completion date when the project is handed over for ...