The representative Office of a foreign enterprise can be enhanced to become an independent business entity, with the original asset transferred into an investment share.

In an effort to encourage foreign investment in Taiwan, the Ministry of Economic Affairs is to enact new regulations designed to relax restriction on investment by foreign investors. Where a foreign enterprise enhances its representative office in Taiwan to become an independent business entity in the future, the assets, property, or equipments of the representative office, after being assessed in a CPA Audit Report, can be transferred into investment shares of the new business entity. This new provision is to be officially announced shortly, and we expect it to be a great appeal to foreign investors.