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Extending the Exemption Period of Commodity Tax on Electrical Vehicles

  • Published at: 2017-06-02 11:24
  • Last modified at: 2017-06-02 11:26

In order to promote Taiwan’s green energy and the use of electric vehicles, as well as to drive the development of relevant industries, Article 12-3 of the Commodity Tax Act was added on January 26, 2011, with the following: “A person who purchases a completely electrically operated vehicle, and completes registration within three years from the effective date of this Article, shall be exempted from commodity tax.” In an executive order announced by the Executive Yuan on January 21, 2014, the exemption period was to be extended to January 27, 2017.

Taking into account both direction and momentum of latest international energy developments, it is absolutely imperative to continue this policy of using smart electrical vehicles. Furthermore, the auto industry is one of the mid- to long-term sectors that require nurturing and market testing. Its initial stage during industrialization particularly relies on the government for increased incentives and long-term implementation support. To ensure policy continuity and benefit Taiwan’s electrical vehicle industry, the Industrial Development Bureau partnered with the Ministry of Finance to extend the exemption period to December 31, 2021. This aims to nurture domestic electrical vehicle and other relevant industries, and construct a sustainable, favorable environment for their development. The Executive Yuan passed the commodity tax amendment bill on December 15, 2016, thereby extending the commodity tax exemption period to December 31, 2021.

  • Contact Organization:The Metal and Mechanical Industrial Division, Industrial Development Bureau, Ministry of Economic Affairs
  • Contact Person:Mr. Liu
  • Contact Phone:(02)2754-1255 ext.2138
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Industrial Development Bureau, Ministry of Economic Affairs
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