|Business allowed to operate in FTZ
FTZ enterprises refer to those that have been approved to engage in trading, warehousing, logistics, consolidating and distributing (cargo of) containers, transiting, transshipment, forwarding, customs clearance, assembling, sorting, packaging, repairing & maintenance, fabricating, processing, manufacturing, examining, testing, displaying or technological services.
Niche of the FTZ
Attribute 1: Autonomous management
Vendors are responsible for their own businesses, and goods are free from inspection, testing, and escorting.
Attribute 2: Inside the Border but Outside of Customs
Goods have been entered and stored in free trade zone, are able to transport to other FTZs in Taiwan, which shall be exempted from relevant duties and taxes and free from the import restrictions set forth in other acts, regulations or orders.
Attribute 3: Convenient international business activities
Convenient visa process to business men entrance, easy for exhibition & trade activities.
Attribute 4: Hiring ratio for foreign workers
Manufacturers can employ up to 40% of foreign workers, lowering labour cost and increasing the competitiveness of the industry.
Attribute 5: Active Liquidity
Engage in foreign currency exchange & FX transaction; set up holding company to invest oversea.
Attribute 6: Allowing in-depth processing
The in-depth processing is allowed for FTZ including assembling, processing, manufacturing, etc.
Attribute 7: Free circulation of goods
The monthly reported is applied for the circulation of goods in the domestic tax areas and bonded areas for the purpose of improving the flow efficiency.
Attribute 8: Offering tax preferential
-Foreign for-profit businesses or their branch companies in Taiwan which register establishment or delegate existing free-trade-zone enterprises to store and/or perform simple processing in free trade zone. Then,the products sold in and out of Taiwan shall be exempted from business income tax.
-Exempt from tariff, commodity tax, business tax, tabacco & wine tax, public health & welfare due on tabacco products, trade promotion service fee, harbor service due. Foreign for-profit conditionally exempt from business income tax.
Attribute 9: One-stop service
One stop consulting and administrative service