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KMT candidate proposes tax breaks in return for pay raises

KMT candidate proposes tax breaks in return for pay raises

Taipei, Aug. 16 (CNA) The ruling Kuomintang's (KMT's) presidential candidate, Hung Hsiu-chu (???), proposed Sunday further tax breaks for businesses that increase wages for their employees. According to Hung's proposal, which was announced at a press conference, small- and medium-sized enterprises that raise salaries for their employees should be able to add 200 percent of the amount of raises to their corporate tax deductibles in the first year. For the second and third years, these businesses should be able to claim 160 percent and 130 percent, respectively, of the amount of raises as deductible expenses on their corporate tax, according to the proposal. That compares to the Executive Yuan's current proposed amendment that allows small- and medium-sized enterprises to add 130 percent of the raises to their tax deductibles for the year. To boost domestic consumption, it is imperative to increase wages for employees, Hung said. Hung noted that the Executive Yuan's amendment to the Act for Development of Small and Medium Enterprises has been stalled in the Legislative Yuan and she urged the opposition Democratic Progressive Party not to boycott the amendment. (By Hsieh Chia-chen and Christie Chen)


Updated : 2021-09-28 10:17 GMT+08:00