How can foreign investors acquire land in Taiwan?
The relevant laws governing the acquisition of land by foreign companies in Taiwan are stipulated in the Land Law and Procedures Governing the Acquisition of Land When Foreign Nationals Invest in Major Infrastructure Projects or Other Agricultural or Dairy Related Projects. The key points are summarized below.
(1)The following types of investment projects are eligible to acquire land in Taiwan:
a. Residential
b. Business operations center, office, shop and factory
c. Churches
d. Hospitals
e. International Schools
f. Embassies/Foreign Missions and Charity Groups
g. Cemeteries
h. Projects which will help local infrastructure, the overall economy or the agricultural and dairy business, and those approved by the central competent Authority, include:
• Major infrastructure projects which are approved by the central competent authority or accorded with the major infrastructure project status by the Executive Yuan in accordance with relevant laws.
• Investment in the Overall Economy: Tourist hotels, tourist entertainment facilities, the development of sports stadiums, development of residential buildings; Development of industrial factories; industrial zones, commercial areas, high-technology industrial parks and the development of other specialized areas; Re-development of ocean land; public infrastructure projects; new cities and townships, the development of the new areas and urban renewal; investment areas announced by the central competent authority.
• Investments in agriculture and farming intensive industries that conform with the Council of Agriculture's agricultural and capital standards and categories.
(2)Restrictions on the acquisition of land
The following types of land may not be transferred, may not create encumbrances, or may not be rented to foreign nationals: a. forest lands, b. fishing ponds, c. hunting areas, d. salt areas, e.mining areas, f. water source areas, and g.military zones or h.border areas.
(3)Application Procedure
Applicants should fill out their application form and prepare their application along with their related documents (see Section D). The application procedure is subject to city or county government approval for those land transfer issues which do not include land rezoning or land inheritance. If the investment area comes under Section A item 8, then applicants should, for land acquisition, first apply to the central competent authority while the city (municipal) and county governments should decide whether to accept or reject the application within 14 days; upon approval, all related documents should be sent to central and local government authorities for reference.
(4)Related Documents
a. Identity card documents of the applicant. If the applicant is a foreign corporation, it should provide proof of identity recognized under ROC law.
b. Investment Plan. The investment plan should stipulate the name of the plan, the address of the land and other items required by the central competent authority.
c. Land Registration Documents and Land Graph Documents. For land designated for urban planning, the application must attach the Certificate Allowing Land Use for Urban Planning. With land for farming purposes, the application must attach the Certificate allowing Land Use for Agricultural Purposes or an equivalent certificate allowing land use for such purposes.
d. Certificates of Reciprocity and Equality verified by ROC missions, representatives, offices or other organizations authorized by the ROC Ministry of External Affairs abroad. Countries included on the list of countries with whom the ROC has signed land use reciprocity agreements are exempt from the above requirements.
e. Other Documents. Other documents provided for in applications filed earlier during evaluation are not required.
f. Additional Notes
(i)The right to own land by foreign nationals will be determined by ROC law or are regulated in line with relevant treaties and also similar to the rights enjoyed by ROC citizens in that country.
(ii)The location of the area is under jurisdiction of the laws and regulations of the city or the local governments which govern the place.
(iii)Foreign nationals, when applying to acquire land under Article 1 of Item 8, should use it for the duration stipulated in the agreement and for purposes agreed upon in the agreement. If they are unable to use the land, for whatever reason, for the duration and for the purposes agreed upon, then they should apply, by clearly stating the reasons, to the central competent authority for a time extension. If they are still unable to utilize the land as agreed upon, then the city or county government shall notify the ownership of their intent to sell the land within three years after they receive the notification. If they are unable to sell it within the period, then the land will be auctioned and the proceeds given to the ownership. Any objects on the land, if they are any, will also be auctioned as part of the land.
(iv)Foreign nationals who purchase or rent land will enjoy the rights and shoulder the responsibilities stipulated under the laws after the registration process is completed.
(v)For the land acquired, usage which may involve environmental assessment, maintenance of land and water, land utilization areas and land rezoning and the land development will all be processed according to the relevant laws and regulations.
Detailed information can be obtained from IDB wbesite.
