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[Law Basis]
[Print]
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〈Basis of Establishment〉
Article 1
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These regulations are prescribed pursuant to Paragraph 1, Article 6-1 of Foreign
Exchange Control Act (hereinafter referred to as “the Act”).
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〈Declarant and Methods of Declaration〉
Article 2
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A person within the territory of the Republic of China who possesses or needs
foreign exchange with the value equal to or over New Taiwan Dollars 500,000 and
engages in its receipts and disbursements or transactions (hereinafter referred
to as the declarant) shall make a declaration pursuant to these Regulations.
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Persons specified in the following subparagraphs shall be treated as a declarant:
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1. A statutory agent who makes a declaration of foreign exchange settlement on
behalf of others pursuant to Paragraph 2 of Article 6 herein.
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2. A company or an individual that makes a declaration of foreign exchange
settlement on behalf of others in its/his own name pursuant to Paragraph
1 of Article 8 herein.
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3. A representative or agent of a non-resident legal entity within the territory
of the Republic of China that makes a declaration of foreign exchange settlement
on behalf of the non-resident legal entity pursuant to Paragraph 2 of Article 9
herein.
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4. An agent of a non-resident within the territory of the Republic of China that
makes a declaration of foreign exchange settlement on behalf of the non-
resident pursuant to Paragraph 3 of Article 9 herein.
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5. A declarant not specified in the preceding paragraph that makes a declaration
of foreign exchange settlement on behalf of others although he or she does not
meet the requirements therefor.
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Article 2 Paragraph 3
When making a declaration of foreign exchange settlement against the New Taiwan
dollar, a declarant shall truthfully fill out a Declaration Statement of Foreign
Exchange Receipts and Disbursements or Transactions (hereinafter referred to as
Declaration Statement (see attached sample) according to supporting documents,
such as a contract evidencing the foreign exchange receipts and disbursements or
transactions. The declarant shall make a declaration to the Central Bank of the
Republic of China (Taiwan) (hereinafter referred to as the Bank) through a banking
enterprise.
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〈Definitions〉
Article 3
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The terms as used in these Regulations are defined as follows:
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1. The term “banking enterprise” shall mean banks, Agricultural Bank of Taiwan, credit
cooperatives, credit departments of farmers' associations, credit departments of
fishermen's associations, and the Chunghwa Post Co., Ltd. authorized by the Bank to
engage in foreign exchange business.
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2. The term “domestic securities firm approved to conduct foreign exchange business”
(DSF) shall mean a DSF mentioned in the Regulations Governing Foreign Exchange
Business of Securities Enterprises.
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3. The term "company" shall mean a company established in the Republic of China pursuant
to the laws of the Republic of China or recognized by and registered with the government
of the Republic of China.
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4. The term “limited partnership” shall mean a limited partnership established and
registered in the Republic of China pursuant to the laws of the Republic of China.
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5. The term “firm” shall mean a profit-seeking business operated and registered as a
sole proprietorship or partnership in accordance with the Business Registration Act
of the Republic of China.
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6. The term “association” shall mean an association established pursuant to the laws
of the Republic of China with approval from the competent authorities.
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7. The term “individual” shall mean a natural person who is 20 years of age or older
residing in the territory of the Republic of China and bearing a Citizen’s ID Card,
or a relevant Taiwan Area Resident Certificate or an Alien Resident Certificate with
a validity of not less than one year from the date of issue.
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8. The term “non-resident” shall mean a foreign national who does not have a relevant
Taiwan Area Resident Certificate or an Alien Resident Certificate, or who has a relevant
residence certificate with a validity of less than one year, or a company, a firm or an
association that has not been duly incorporated and registered within the territory of
the Republic of China, or a foreign legal entity that has not been recognized by the
government of the Republic of China.
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〈Direct declaration of foreign exchange settlement〉
Article 4
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Except of those foreign exchange transactions specified in Article 5, in which the
banking enterprises shall verify the relevant contracts and letters of approval that
evidence the Declaration Statement of foreign exchange receipts and disbursements
or transactions before processing foreign exchange settlements, a declarant, after
filling out a Declaration Statement, may process the foreign exchange settlements
against the New Taiwan dollar in the following foreign exchange receipts and
disbursements or transactions:
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1. Foreign exchange receipts from export of goods or provision of services to
non-residents by a company, a firm, an association, or an individual;
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2. Foreign exchange disbursements for import of goods by a company, a firm,
an association, or an individual, or for services provided by non-residents;
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3. Foreign exchange purchased or sold by a company or a firm within the annual
aggregate settlement amount not exceeding USD 50 million or foreign exchange
purchased or sold by an association or an individual within the annual aggregate
settlement amount not exceeding USD 5 million; however, the amount of foreign
exchange purchased or sold as referred to in the preceding two subparagraphs and
Subparagraph 4 of Article 5 herein will not be included in the aggregate settlement
amount of the current year; and
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4. A single remittance by a non-resident not exceeding USD 100,000. However, a
foreign financial institution outside the territory of the Republic of China may not
sell foreign exchange through inward remittance.
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Article 4 Paragraph 2
Where a declarant has made foreign exchange settlement against the New Taiwan
dollar for the foreign exchange receipts, disbursements, or transactions related
to export or import of goods as specified in Subparagraphs 1 and 2 of the preceding
paragraph with shipping documents, a certificate of foreign exchange settlements
against the New Taiwan dollar for exports/imports issued by a banking enterprise
may serve as the Declaration Statement.
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〈Declaration of foreign exchange settlement requiring documentation〉
Article 5
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The settlement of foreign exchange against New Taiwan dollar involving the
following foreign exchange receipts and disbursements or transactions may not
be processed until the banking enterprise has confirmed that the Declaration
Statement is consistent with relevant contracts and letters of approval that
evidence the foreign exchange receipts and disbursements or transactions in
question:
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1. A single remittance by a company or a firm with an amount equal to or over United
States dollars 1 million;
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2. A single remittance by an association or an individual with an amount equal to or
over United States dollars 500,000;
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3. Remittances approved by the competent authorities for direct investment,
portfolio investment or futures trading;
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4. Remittances for transactions conducted within the territory of the Republic of
China involving goods or services located outside the territory of the Republic
of China; and
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5. Remittances that require evidencing documents for verification by banking
enterprises pursuant to other regulations of the Bank.
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〈Declaration of foreign exchange settlement requiring approval〉
Article 6
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The settlement of foreign exchange against the New Taiwan dollar involving the
following foreign exchange receipts and disbursements or transactions may not
be processed until the declarant has received approval from the Bank by submitting
the Declaration Statement along with evidencing documents through banking
enterprises:
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1. Essential remittances by a company or a firm whose annual aggregate settlement
amount of foreign exchange purchased or sold has exceeded USD 50 million; or
essential remittances by an association or an individual whose annual aggregate
settlement amount of foreign exchange purchased or sold has exceeded USD 5
million.
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2. A single remittance exceeding TWD 500,000 by a natural person under 20 years of
age, bearing a Citizen's ID Card, a relevant Taiwan Area Resident Certificate, or an
Alien Resident Certificate with a validity of more than one year from the date of
issuance.
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3. The following remittances where a single remittance by a non-resident exceeds USD
100,000 in foreign exchange purchased or sold:
(1) Revenue from contract construction within the territory of the Republic of China;
(2) Deposits of guarantees and arbitration fees for pending legal disputes within
the territory of the Republic of China;
(3) Payment related to legally or approved by the competent authorities acquiring real
estate for self-use within the territory of the Republic of China;
(4) Inheritance, insurance claims, and pensions legally acquired within the territory of
the Republic of China.
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4. Other essential remittances.
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Article 6 Paragraph 2
Foreign exchange settlements for remittances specified in subparagraph 2 of
the preceding paragraph shall be declared by the principal's statutory agent,
and the principal and his/her statutory agent shall both sign on the Declaration
Statement in the “Signatures of declarant and his responsible person” section.
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〈Acceptance procedure〉
Article 7
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When a declarant applies for declaration of foreign exchange settlement against
the New Taiwan dollar at a banking enterprise, the banking enterprise shall
examine and verify the identification documents or registration documents of a
declarant, and advise the declarant on how to fill out a Declaration Statement,
and affix its seal on the Declaration Statement in the“Signature of Banking
Enterprise Personnel Advising the Declarant" section.
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Banking enterprises shall properly store the Declaration Statements filled out
and other documents provided by declarants when applying for declaration of
foreign exchange settlement against the New Taiwan dollar at the banking
enterprise and retain such documents for at least five years.
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〈Mandated declaration of foreign exchange settlement〉
Article 8
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Where a company or an individual trusted by others to conduct and declare foreign
exchange settlement against the New Taiwan dollar in its/his own name, the trustee
mandatory shall make declaration in accordance with the “Directions for Banking
Enterprises while Assisting Customers to Declare Foreign Exchange Receipts and
Disbursements or Transactions” and other regulations stipulated by of the Bank.
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In addition to afore mentioned situation, a declarant may entrust another individual to
declare foreign exchange settlement against the New Taiwan dollar on his/her behalf, but
the principal shall assume full responsibility for the items declared thereof. In
addition, the mandatory shall present a letter of mandate and identification documents of
both the principal and the mandatory to the banking enterprise, and make the declaration
in the name of the principal.
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〈Declaration of foreign exchange settlement by non-residents〉
Article 9
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Unless otherwise provided by the Bank, a non-resident natural person making a
declaration of foreign exchange settlement against the New Taiwan dollar specified
in Subparagraph 4, Paragraph 1, Article 4 or Subparagraph 3, Article 5 shall make
the declaration in person with a passport or other identification documents.
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Unless otherwise provided by the Bank, a non-resident legal entity making a
declaration of foreign exchange settlement against the New Taiwan dollar
specified in Subparagraph 4, Paragraph 1, Article 4 or Subparagraph 3, Article 5
shall submit a letter of authorization authorizing its representative or agent
within the territory of the Republic of China to make a declaration on its
behalf in the name of the representative or agent; where a non-resident legal
entity is a foreign financial institution, the non-resident legal entity shall
authorize a financial institution within the territory of the Republic of China
to make a declaration on its behalf in the name of the financial institution.
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A non-resident making a declaration of foreign exchange settlement through a
banking enterprise pursuant to the rules set forth in Subparagraphs 3 and 4,
Paragraph 1 of Article 6 herein, shall submit a letter of authorization
authorizing its agent within the territory of the Republic of China to make a
declaration on his/her behalf in the name of the agent.
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〈Internet Declaration (1)〉
Article 10
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When any of the following declarants makes a declaration of foreign exchange settlement
against New Taiwan dollar, they may make a declaration to the Bank via electronic
document through a banking enterprise that has been approved by the Bank to engage in
Internet foreign exchange business:
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1. A company, a firm or an association; or
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2. An individual.
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Article 10 Paragraph 2
A declarant using the Internet to make a declaration of foreign exchange settlement
against New Taiwan dollar shall apply to a banking enterprise and handle related
matters as stipulated.
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A banking enterprise shall abide by the following provisions when processing declarations
via the Internet:
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1. It shall verify the declarant's identification document or basic registration
information.
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2. It shall provide a sample Declaration Statement with a description of how it shall
be filled out on its website.
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3. After confirming a match for the electronic signature on the declarant’s completed
Declaration Statement, the banking enterprise shall, based on the content of the
Declaration Statement, produce the media data on foreign exchange purchase/sale memo
in a format prescribed by the Bank and submit it to the Bank. Such media data shall
be treated the same as the declarant making a declaration to the Bank.
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4. Declaration records of foreign exchange receipts and disbursements or transactions
in electronic format, as well as other written, faxed, or scanned documents shall
be properly stored for auditing, query, and printing purposes by banking enterprises
and shall be retained for at least five years.
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〈Internet Declaration (2)〉
Article 11
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A declarant making a foreign exchange settlement through the Internet pursuant
to Article 5 shall provide the banking enterprise with the original foreign
exchange settlement documents or relevant foreign exchange settlement documents
that match the originals; where a declarant makes a foreign exchange settlement
against the New Taiwan dollar based on letters of approval from the competent
authorities, the total accumulated foreign exchange settlement amount may not
exceed the approved amount.
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Where a declarant making a declaration of foreign exchange settlement against
the New Taiwan dollar through the Internet is found to have made an untruthful
declaration, that declarant shall thereafter make declarations of foreign
exchange settlements against the New Taiwan dollar in person at banking
enterprises only.
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〈Correction of Declaration Statement〉
Article 12
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A declarant shall not change the contents of the Declaration Statement after
making a declaration of foreign exchange settlement against the New Taiwan
dollar. However a declarant may apply to the Bank for correcting the Declaration
Statement through a banking enterprise under any of the following circumstances:
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1.The declarant has unintentionally submitted untruthful information, has
provided evidence to which, and has submitted an opinion letter issued by a
lawyer, a certified public accountant, or a banking enterprise indicating the
same.
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2. The declarant has already been penalized pursuant to Paragraph 1, Article 20
of the Act for intentionally making an untruthful declaration.
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Article 12 Paragraph 2
If a certificate of foreign exchange settlement against the New Taiwan dollar
prepared pursuant to Paragraph 2, Article 4 is found to be inconsistent with
the original evidencing document, the provisions of Paragraph 2, Article 13
shall apply mutatis mutandis to the correction of the certificate.
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〈Declaration of unsettled foreign exchange receipts and disbursements or 〉
Article 13
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Where a declarant has not made foreign exchange settlement against New Taiwan dollar for
relevant foreign exchange receipts and disbursements or transactions, the certificate
of transaction prepared by a banking enterprise shall serve as the Declaration Statement.
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The declarant shall verify the accuracy of the contents of the certificate of transaction
prepared by the banking enterprise. In the event that inconsistency has been identified,
the declarant shall submit the relevant evidencing documents to apply for correction with
the Bank through the banking enterprise.
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〈Obligation to provide explanation〉
Article 14
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In the event that there is a reason to believe the items declared might be
untruthful, the Bank may make inquires and the declarant concerned and any
related person shall be obliged to give explanations honestly.
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〈Penalties〉
Article 15
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A declarant that fails to make a declaration on purpose or makes an untruthful
declaration on purpose, or gives no explanation in reply to the inquiry before
a deadline or gives fraudulent explanations, shall be subject to penalty pursuant
to the provision of Paragraph 1, Article 20 of the Act.
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〈Declaration of remittance to Mainland Area〉
Article 16
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The provisions of these Regulations shall apply mutatis mutandis to declarations of
outward and inward remittances to and from the Mainland Area. Other than declaration,
these remittances shall be complied with the Act Governing Relations Between The
People of the Taiwan Area and the Mainland Area and its relevant regulations.
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Unless it is otherwise stipulated by the Bank, the provisions of these Regulations shall
apply mutatis mutandis to declarations of renminbi receipts and disbursements or
transactions in Taiwan Area.
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〈Declaration processed by DSFs and declaration by limited partnerships〉
Article16-1
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Unless it is otherwise provided by the Bank, the provisions of these Regulations governing
banking enterprises shall apply mutatis mutandis to the declaration of foreign exchange
receipts and disbursement or transactions processed by DSFs.
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The provisions of these Regulations and other provisions regarding declarations made by
companies shall apply mutatis mutandis to declarations made by limited partnerships.
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〈Date of implementation〉
Article 17
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These Regulations shall become effective on the date of promulgation.
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