TAIPEI (TVBS News) — Minister of Finance Chuang Tsui-yun (財政部長莊翠雲) announced on Tuesday (Aug. 20) that single renters with an annual income below NT$626,000 will be exempt from Individual Income Tax (總和所得稅) for the upcoming tax season. This initiative aims to alleviate the financial burden on lower-income individuals.
Families of four with young children renting a home will also benefit. Households earning less than NT$1.641 million annually won't also have to pay taxes.
Chuang emphasized that the government has been optimizing the income tax system in recent years, with a positive outcome. According to a 2021 report, around 47%, 3.05 million, were exempt from Individual Income Tax.
The minister stated that the government has also increased the special deduction for preschool children and introduced a new deduction for long-term care. Also, housing rent expenses have been reclassified as a special deduction, with the amount raised from NT$120,000 to NT$180,000.