Misc Articles on Taiwan in the News

The Beeb reports that China is warning the US on arms sales to Taiwan.

In a broad policy document on arms control, China also says it is against any government providing Taiwan with missile defences.

The statement comes ahead of Chinese President Hu Jintao's visit to Washington next week, for talks with US President George W Bush.

Meanwhile stay tuned for this story: Taiwan to reform tax rates.

Taiwan's government has put forward a draft bill that proposes the island's largest-scale tax reform plan in decades.

The legislature reconvenes today and will consider the plan to introduce a minimum income tax rates of 10 per cent for corporations and 20 per cent for wealthy individuals.

“The aim is to make our tax system fairer and to increase the tax base,” said Lin Chuan, minister of finance, after the cabinet approved the final draft.

Taiwan's tax burden stands at 13.6 per cent of gross domestic product, far below the Organisation for Economic Co-operation and Development average of 26 per cent.

The reform plans to phase out a system of generous tax incentives on which Taiwan's technology industry has been built but which have left many companies not paying any tax at all.

Under the new system, companies with annual earnings exceeding T$2m ($60,000, €50,300, £34,400) would have to pay at least 10 per cent tax.

Taiwan's regressive tax policies are in desperate need of reform...meanwhile the Taipei Times hosts a commentary on Richard Armtage's latest words:

Against this backdrop, he cautioned Australia against cozying up to China too much. Which is interesting because, until recently, Washington had taken its alliance with Australia too much for granted. According to Armitage, "If I were Australian ? and I was beginning to feel the tectonic plates move a bit by the ascension of China, the ascension of India, then I think I would opt on the side of `maybe I'll just keep this security alliance a while longer,' because ultimately that's the guarantor that Australians very much will enjoy their lifestyle."

I'll bet Australians thought they owed their lifestyle to the hard work of Aussies...

[Taiwan] [China]