Canada and Taiwan have not entered into a tax treaty. Consequently, because each
jurisdiction uses different connecting factors, that is 'residence' in Canada and 'income
source' in Taiwan, double taxation may occur for individuals subject to tax in both
jurisdictions. With the increasing number of Taiwanese immigrants to and investors in
Canada, double taxation is becoming a significant problem. A treaty is probably the most
efficient mechanism to resolve the double taxation problem. However, the political issue
is how can a nation (Canada) enter into a treaty with a jurisdiction (Taiwan) that it does
not recognize as a nation state? Despite facing the same problem, on May 29, 1996
Australia signed a tax agreement with Taiwan concerning the avoidance of double taxation
and the prevention of tax evasion. The Australia-Taiwan Tax Agreement is unique
because it was signed by two private sector organizations rather than by the respective
governments. Using the same mechanism, New Zealand and Vietnam have signed tax
agreements with Taiwan as well. This thesis analyses the likelihood of Canada entering
into a tax treaty with Taiwan. In so doing, it considers how double taxation arises,
reviews the foreign reporting rules and argues that a tax treaty between Canada and
Taiwan is desirable.
The conclusion is that, theoretically and pragmatically, a tax treaty (or agreement)
between Canada and Taiwan is possible and needed in order to relieve punitive double
taxation and to facilitate bilateral economic and trading relations between the two
jurisdictions.
| Identifer | oai:union.ndltd.org:LACETR/oai:collectionscanada.gc.ca:BVAU.2429/8973 |
| Date | 05 1900 |
| Creators | Lee, Emily Hsiang-hui |
| Source Sets | Library and Archives Canada ETDs Repository / Centre d'archives des thèses électroniques de Bibliothèque et Archives Canada |
| Language | English |
| Detected Language | English |
| Type | Electronic Thesis or Dissertation |
| Relation | UBC Retrospective Theses Digitization Project [http://www.library.ubc.ca/archives/retro_theses/] |
Page generated in 0.1505 seconds