TAIPEI (Taiwan News) — Individuals earning NT$620,000 (US$20,000) or less annually will be exempt from income tax beginning with the May 2026 filing season.
President Lai Ching-te (賴清德) announced on Sunday that those earning about NT$50,000 per month or less will not need to pay, per CNA. He said higher earners will carry a greater share, giving the government more resources to care for the public.
Lai pledged to keep Taiwan safe and create more job opportunities. He credited the unity and resilience of the Taiwanese people for strong economic growth and a robust stock market over the past two years.
He said a couple with two children under five earning NT$1.641 million annually will be exempt from taxes. A household supporting two elderly parents with an annual income of around NT$2.12 million will also qualify.
Lai estimated that 40% to 50% of households may end up paying no income tax under amendments to the Income Tax Act passed in August. He added that the top 1% of taxpayers already contribute 40% to 50% of income taxes.
He praised high-earning companies for strengthening the nation through their contributions. The more profits they generate, the more tax revenue is available to support the public, he said.
Later, Lai attended a closed-door meeting with DPP officials in Hsinchu County. Following the meeting, Zhubei Mayor Cheng Chao-fang (鄭朝方) said discussions focused on how well central government policies are being communicated locally.
Cheng said officials urged stronger outreach and raised concerns about alternatives to Provincial Highway 1 and the capacity of high schools in the Greater Hsinchu area. He called on the central government to better address the county’s needs.
