Amendment of the Innovative Regulations to add firewood to industrial upgrading
- Published at: 2019-06-27 09:11
- Last modified at: 2019-06-27 09:17
In response to changes in global economic situation and development trend of international industries, the government actively optimizes industrial innovation environment, and combines R&D, talents, technology, and capital to promote industrial upgrading and transformation. The " Statute for Industrial Innovation " is subject to the expiration of tax incentive measures at end of this year (2019),it is proposed to have an amendment to the Statute. The smart machinery and 5G investment credit was passed on June 19, and the other articles amendment was passed on June 21st.
The amendment bill includes extension of preferential tax incentives for 10 years, incentives to create investment momentum, and incentives for taxation. Deletion, and revision of 10 articles.
First of all, the smart machinery and 5G investment credit is expected to accelerate investment in the next 3+1 years, and fully promote the industrial development towards intelligence and 5G application momentum. Secondly, the industry has concerned about retaining surplus taxation is not conducive to investment planning. After the bill is passed, the companies can invest in buildings, equipment, and technology required for operation with retaining surplus. It will be exempted from 5% profit-seeking enterprise income tax, which will not only reduce the tax burden, but can have a substantial contribution to domestic GDP growth also.
The Statute for Industrial Innovation is important economic bill to assist the industrial development. The amendments proceeded under consideration of fiscal revenue and expenditure and industrial development. All sectors expressed support. The extension for the implementation of tax incentives provides a continuous environment for R&D innovation. By providing relevant resources through the " Statute for Industrial Innovation ", these measures will give Taiwan companies greater confidence to invest more broadly in Taiwan.
- Contact Organization:Industrial Policy Division, Industrial Development Bureau, Ministry of Economic Affairs
- Contact Person:Ms.Lin
- Contact Phone:(02)2754-1255 ext.2634