Newsletter
BUSINESS REGISTRATION TO BE STREAMLINED
The draft amendment to the Commercial Regis-tration Law has now passed the scrutiny of the joint Economics and Finance Committees of the Legislative Yuan. If enacted, the amendment will abolish the business registration and the unified profit-seeking enterprise business permit system that have been practiced in the ROC for 64 years.
Under the current Commercial Registration Law, a commercial enterprise and its branch estab-lishments (except for small businesses that are exempted from the registration requirement) may not begin operation until the competent authority has approved the enterprise's registra-tion and issued it with a registration certificate.
The draft amendment abolishes the above re-quirement and also the existing unified profit-seeking enterprise business permit system. A new registration system (without insurance of business permit) is adopted for business regis-trations, and the registration function is separated from the regulatory function. In other words, when a business registration agency processes a registration application, it will only examine whether the application complies with the pro-visions of the Commercial Registration Law. If so, the agency will grant registration, and inform the relevant regulatory authorities by sending them copies of the registration documents. A complete company registration database will also be set up.