Businesses optimistic about tax deal with the mainland

TAIPEI–Taiwanese business people said they are optimistic about a new tax agreement between Taiwan and China that is expected to be sealed soon, with many hoping that the accord can improve the competitiveness of local businesses.
Lai Cheng-i (賴正鎰) head of the General Chamber of Commerce in Taiwan, said the pact could help solve the long-lasting problem of double-taxation between the two sides and was the direction Taiwan had to take.

Taipei Chamber of Commerce Director-General Wang Ying-chieh (王應傑) said a formal agreement could prevent “unnecessary costs” for Taiwanese investors, explaining that there is currently no consistent rule that is legally applied across local governments in China.

Under the protection of a cross-strait deal, Taiwanese businesses could be more competitive, he said.

The tax agreement may be signed during the 11th round of high-level cross-Taiwan Strait talks possibly before the end of April.