I. Observe the schedule of regular medical examinations:
- 1. Foreign professionals: Foreigners applying to work in Taiwan as teachers at supplementary language schools should submit a certificate of medical examination issued within the previous 3 months by hospitals designated by the governing agency, i.e. the Ministry of Health and Welfare of the Republic of China. If the certificate of medical examination is issued by a foreign hospital, it must be authenticated by the overseas representative office of the Republic of China.
- 2. Foreign Workers: Foreign workers shall undergo a medical examination arranged by employers in hospitals designated by the Department of Health of the Executive Yuan within 3 working days of arrival in Republic of China and within a period of 30 days before and after the expiry of 6 months, 18 months and 30 months..
II. Apply for Alien Resident Certificate (ARC) within the prescribed time:
Within 15 days upon arrival, foreigners holding a resident visa should bring relevant documents to a local service center of the National Immigration Agency to apply for an Alien Resident Certificate or entrust others to do so. Foreign workers are required to have fingerprint cards.
III. Pay income tax on salary earned in Taiwan according to the following regulations:
- 1. If a foreign worker has resided in Taiwan for 183 days or more within a taxable year, their applicable tax rate will be 5% to 45%. If the employer is a withholding agent under the income tax law, a foreign worker may request that their tax rate of 5% be deducted from their monthly salary or deducted in accordance with the appropriate income tax withholding law; if the income paid to the individuals who request that 5% be deducted from the monthly salary does not exceed NT$2,000 or an annual salary not exceeding NT$40,000,, such withholding will be exempt. Individuals who request that income be withheld in accordance with the appropriate tax withholding law will be exempt from such withholding if his or her monthly salary, staring from 2016, does not exceed NT$73,000.
- 2. If a foreign worker who has resided in Taiwan for a period of less than 183 days, they are considered as a "non-resident" and their income tax will be withheld by their employer who is a tax withholding agent under the Income Tax Act. If a foreign worker's monthly income is equal to or lower than one and a half times of the monthly salary baseline salary as assessed by the Executive Yuan, 6% of the income will be withheld for income tax purposes. If their monthly income exceeds one and a half times of the monthly salary baseline salary, 18% of the income will be withheld for income tax purposes.
- 3. For any foreign worker in Taiwan employed as a domestic helper or caregiver, due to the fact that your employer is not a withholding agent under the Income Tax Act, whether or not they are a "resident" or a "non-resident", their employer may not act as a withholder. Foreign workers still need to, in accordance with your labor contract, compute their monthly income tax and declare accordingly.
- 4. If a foreign worker has resided in Taiwan for a period exceeding 90 days within one taxable year, they should file their income taxes. Filing of income tax for the current year should be done from May 1st to 31st of the following year. Those who will leave the country prior to the start of the time limit prescribed for filing income tax should file their income tax a week prior to their departure. If the filing is found to be eligible for a rebate, the tax bureau will issue a tax refund check in accordance with general refund procedures.
- 5. If a foreign worker reports their income as less than the actual amount, they will be fined no more than twice of the income tax shortage. If they do not file income tax according to the law, they will be fined no more than three times of the tax shortage.
IV. A written labor contract should be drawn up in accordance with the regulation:
The employer should sign a written contract with a foreign worker, and said contract must be of a fixed length of time. Those contracts not specifying a fixed length of time are limited by when the work permit expires. This also applies when renewing a contract. The contract should be in Chinese and also in translation using the mother language of the foreign laborer.
V. How to join into and withdraw from the labor insurance program: (for details, please log on to the Bureau of Labor Insurance)
- 1. Joining the labor insurance program: A foreigner above 15 years and below 65 years of age and employed in a company or firm that employs more than 5 workers must be covered by the labor insurance program according to the "Labor Insurance Act." The employer should submit the foreign worker's employment permit issued by a responsible entity, and a photocopy of the worker's Alien Resident Certificate or passport to the Bureau of Labor Insurance in order to apply to join the labor insurance program. For those who are employed in a company or firm that employs less than 4 workers or foreign workers or who are hired by other industries, the employer may enroll them in Labor Insurance system voluntarily.
- 2. Withdrawing from the labor insurance program: The day the foreign worker's contract is due, or if the foreigner voluntarily leaves the job early, or transfers to another employer to finish out his or her term, the business institution or the employer should apply to the Bureau of Labor Insurance for the foreign worker's withdrawal from labor insurance coverage.
VI. How to join into and withdraw from National Health Insurance (NHI) coverage: (for details, please link to the website of the National Health Insurance Administration, NHIA)
- 1. Join the NHI program: All foreign workers holding an Alien Resident Certificates should join the NHI program. The employer should apply for health insurance related matters to the local division of the NHIA within three days starting from the day when the laborer fits the qualifications for joining the insurance program.
- 2. Withdraw from the NHI program: Within three days starting from the day that the foreign laborer's contract is up, or the foreigner voluntarily leaves the job early or transfers to another employer to finish out his or her term, the foreign laborer should apply to the NHI to withdraw from insurance coverage.
VII. Regulations of the working conditions as to the wage and working hours: (for detailed information, please visit the MOL website):
1. Businesses covered by the "Labor Standards Act"
If a foreigner is hired to work for businesses (manufacturing industry, construction industry, etc.) that fit the "Labor Standards Act", their wages, working hours, leave, overtime work, and terms of severance should be regulated in accordance with the "Labor Standards Act."
Highlights of the existing related regulations are as follows:
(1) Minimum wage: From Jan. 1, 2017, the monthly minimum wage is NT$21,009, and the hourly wage is NT$133.
(2) Regular working hours: A worker's normal working hours should not exceed eight hours each day and the total working hours of every two-week period should not exceed 84 hours.
(3) Overtime hours: A employer should not have their workers work for more than 12 hours a day, including regular working hours, and the total overwork time should not exceed more than 46 hours each month.
(4) An employer shall pay worker overtime wages using the following basis:
(a)When the overtime work does not exceed two hours, the worker shall be paid, in addition to the regular hourly wage, at least an additional one-third of the regular hourly rate.
(b)When the overtime work is over two hours, but the total overtime work does not exceed four hours, the worker shall be paid, in addition to the regular hourly wage, at least an additional two-thirds of the regular hourly rate.
(c)In accordance with Article 36, an employer shall pay a worker overtime wages when required to work on the rest days. When the overtime work does not exceed two hours, the worker shall be paid, in addition to the regular hourly wage, at least an additional one and one-third of the regular hourly rate. When the overtime work is over two hours, the worker shall be paid, in addition to the regular hourly wage, at least an additional one and two-thirds of the regular hourly rate.The time and wage computation are to be done using the following basis: When the overtime work does not exceed four hours, it shall be computed as four hours; when the overtime is in excess of four hours and under eight hours, it shall be computed as eight hours; when the overtime is in excess of eight hours and under twelve hours, it shall be computed as twelve hours.
2. Businesses not covered by the "Labor Standard Act":
If a foreigner is employed by businesses that do not fall under the "Labor Standards Act" (domestic helpers, household caretakers, etc.), terms regarding wages, working hours, leave and overtime work shall be regulated by the "labor contract" drawn up between the employee and the employer. The rights and obligations of foreign workers in Taiwan are administered by Ministry of Labor and the Overseas Community Affairs Council. For details, please refer to the website of the Ministry of Labor.
Address: 9F, No. 83, Section 2, Yangping North Road, Datong District, Taipei City