The languages of Taiwan consist of several varieties of languages under the families of Austronesian languages and Sino-Tibetan languages. The Formosan languages, a geographically designated branch of Austronesian languages, have been spoken by the Taiwanese indigenous peoples for thousands of years. Owing to the wide internal variety of the Formosan languages, research on historical linguistics recognizes Taiwan as the Urheimat (homeland) of the whole Austronesian languages family. In the last 400 years, several waves of Han emigrations brought several different Sinitic languages into Taiwan. These languages include Taiwanese Hokkien, Hakka, and Mandarin, which have become the major languages spoken in present-day Taiwan.

Formosan languages were the dominant language of prehistorical Taiwan. Taiwan's long colonial and immigration history brought in several languages such as Dutch, Spanish, Hokkien, Hakka, Japanese, and Mandarin. Due to the former Japanese occupation of the island, the Japanese language has influenced the languages of Taiwan, particularly in terms of vocabulary, with many loanwords coming from Japanese.

After World War II, a long martial law era was held in Taiwan. Policies of the government in this era suppressed languages other than Mandarin in public use. This has significantly damaged the evolution of local languages, including Taiwanese Hokkien, Hakka, Formosan languages, and the Matsu dialect. The situation had slightly changed since the 2000s when the government made efforts to protect and revitalize local languages. Local languages became part of elementary school education in Taiwan, laws and regulations regarding local language protection were established for Hakka and Formosan languages, and public TV and radio stations exclusively for these two languages were also established. Currently, the government of Taiwan also maintains standards for several widely spoken languages listed below; the percentage of users are from the 2010 population and household census in Taiwan.

The Taiwanese indigenous languages or Formosan languages are the languages of the Taiwanese indigenous peoples. Taiwanese aborigines currently comprise about 2.3% of the island's population. However, far fewer can still speak their ancestral language after centuries of language shift. It is common for young and middle-aged Hakka and aboriginal people to speak Mandarin and Hokkien better than, or to the exclusion of, their ethnic languages. Of the approximately 26 languages of the Taiwanese aborigines, at least ten are extinct, another five are moribund, and several others are to some degree endangered. The government recognizes 16 languages and 42 accents of the indigenous languages.

The governmental agency Council of Indigenous Peoples maintains the orthography of the writing systems of Formosan languages. Due to the era of Taiwan under Japanese rule, a large number of loanwords from Japanese also appear in Formosan languages. There is also Yilan Creole Japanese as a mixture of Japanese and Atayal.

All Formosan languages are slowly being replaced by culturally dominant Mandarin. In recent decades the government started an aboriginal reappreciation program that included the reintroduction of Formosan mother tongue education in Taiwanese schools. However, the results of this initiative have been disappointing. The television station Taiwan Indigenous Television and radio station Alian 96.3 were created as efforts to revive the indigenous languages. Formosan languages were made an official language in July 2017.

The Amis language is the most widely spoken aboriginal language on the eastern coast of the island, where Hokkien and Hakka are less present than on the western coast. The government estimates put the number of Amis people at a little over 200,000, but the number of people who speak Amis as their first language is lower than 10,000. Amis has appeared in some mainstream popular music. Other significant indigenous languages include Atayal, Paiwan, and Bunun. In addition to the recognized languages, there are around 10 to 12 groups of Taiwanese Plains Indigenous Peoples with their respective languages.

Some indigenous people and languages are recognized by local governments. These include Siraya (and its Makatao and Taivoan varieties) to the southwest of the island. Some other language revitalization movements are going on Basay to the north, Babuza-Taokas in the most populated western plains, and Pazeh bordering it in the center west of the island.