Basic tax allowance increase to benefit 2.05 million taxpayers
12/17/2020 06:19 PM
CNA file photo
Taipei, Dec. 17 (CNA) The Ministry of Finance has adjusted upward a basic allowance that taxpayers can deduct from their income when filing their income taxes, a measure that it said will benefit some 2.05 million households around Taiwan.
The basic living expense allowance per person for fiscal year 2020 for income taxes to be filed in 2021 has been raised from NT$175,000 (US$6,217) to NT$182,000, the ministry announced on Wednesday.
Under Taiwan s current individual income tax filing system, if the amount of the basic living expenses is higher than the sum of the personal exemption (NT$88,000 per taxpayer or dependent), a standard deduction of NT$120,000 per taxpayer and various special deductions, the difference can be used as an additional tax deduction from the taxpayer s total income.
Basic tax allowance increase to benefit 2m households
Staff writer, with CNA
The Ministry of Finance has adjusted upward a basic allowance that taxpayers can deduct from their income when filing their taxes, a measure that would benefit 2.05 million households, it said on Wednesday.
The basic living expense allowance per person for fiscal year 2020 for income taxes to be filed next year has been raised from NT$175,000 to NT$182,000 (US$6,144 to US$6,390), the ministry said.
Under the individual income tax filing system, if the amount of basic living expenses is higher than the sum of the personal exemption (NT$88,000 per taxpayer or dependent), a standard deduction of NT$120,000 per taxpayer and various special deductions, the difference can be used as an additional tax deduction from the taxpayer’s total income.