Chapter I General
Amusement tax shall be levied and collected pursuant to this Law.
Amusement tax shall be levied on tickets sold or fees charged by amusement places, facilities or activities below:
2. Professional singing, story-telling, dancing, circus, magic show, acrobatics show, and night club performances.
3. Drama and musical performances and amateur singing, dancing, etc.
4. Skill competitions and contests.
5. Dance halls.
6. Golf course and the like that provide facilities for the recreation or entertainment of others.
If the aforesaid amusement places, facilities or activities do not sell tickets but supply drinks or entertainment facilities at a fee, amusement tax shall be levied on the amount of charges thereof.
The taxpayers of amusement tax shall be the persons who pay for the amusement.
Providers or sponsors of amusement places, facilities or activities are designated the collecting agents of amusement tax.
Activities that meet any of the following provisions are exempt from amusement tax:
(1)Amusement activities sponsored by educational, cultural, public interest, charity institutions, or organizations deemed a public interest social organization or foundation under the General Provisions of the Civil Code or duly registered with the competent authorities pursuant to other related laws or regulations where the total proceeds are used exclusively by said institution or organization.
(2)Amusement activities where the total proceeds after deducting necessary expenses are used for disaster relief or military morale purposes.
(3)Cultural or amusement activities provided temporarily and free of charge for employees by institutions, organizations, privately-owned or publicly-owned enterprises, schools and other organizations.
The deductible expenses as provided in Item (2) in the preceding paragraph shall be limited to 20% of the total proceeds.
Chapter II Tax Rates
Amusement tax shall be levied on tickets sold or fees charged according to the rate schedule specified below:
(1)Cinema – no more than 60%; for Chinese language films, no more than 30%;
(2)Professional singing, story-telling, dancing, circus, magic show, acrobatics show, and night club performances – no more than 30%;
(3)Drama and musical performances and amateur singing, dancing, etc. – no more than 5%;
(4)Skill competitions and contests – no more than 10%;
(5)Dance halls – no more than 100%; and
(6)Billiard places – no more than 50%; bowling alleys – no more than 30%; golf course – no more than 20%; and the like that provide facilities for the recreation or entertainment of others – no more than 50%.
Municipal and county (city) governments may, in view of the local situations, respectively prescribe the amusement tax rates within the maximum rates provided in the foregoing paragraph, and report the prescribed rate schedule to the Ministry of Finance after the schedule has been approved by the local assembly of the same level.
Chapter III Tax Collection Procedure
Businesses that regularly provide facilities or activities which are subject to amusement tax shall register and go through the tax collection and return formalities with the competent tax authority prior to the opening of business, relocation, change of business, alteration, reorganization, merger, transfer of ownership, or suspension of business.
Businesses that sponsor amusement activities temporarily for a consideration shall register and go through the tax payment or exemption formalities with the competent authority in advance.
If the aforesaid temporary amusement activity does not charge a fee in any fashion, its sponsor shall report to the competent tax authority in advance.
Collecting agents of amusement tax shall, prior to the tenth (10th) of the following month, file monthly return and pay tax collected in the month. Notwithstanding the foregoing, businesses that have special operation or small-scale operation and whose tax is assessed by the competent tax authority shall pay amusement tax in ten (10) days after the receipt of tax payment notice from the tax authority.
Where the amusement activities are provided temporarily for a consideration, the competent tax authority will, once every five days, calculate tax due and issue a tax payment notice to the taxpayer. Upon the receipt of such notice, the taxpayer shall pay tax in ten (10) days.
Collecting agents of amusement tax shall, at the time of tax collection, issue a ticket as documentary evidence and have the ticket torn upon entry of the ticket holder, otherwise the tax is deemed not collected. For businesses whose amusement tax is assessed pursuant to the proviso provided in the first paragraph of Article 9 herein, no tickets need to be issued.
The tickets described in the foregoing paragraph shall be uniformly printed, serially numbered and stamped by the competent tax authority, and sold at cost to amusement businesses for use. Notwithstanding the foregoing, if tickets are sold for temporarily provided amusement activities, the responsible person shall submit the tickets with serial number and price indicated thereon to the competent tax authority for stamping, and complete the tax payment guarantee formalities, and report and pay the tax collected on time.
Chapter IV Reward and Penalty
Competent tax authority should grant collecting agents of amusement tax who pay tax collected within the prescribed time limit a pecuniary award equivalent to 1% of the amount of tax paid.
The aforesaid pecuniary award shall be deducted by the collecting agent from the tax due each time it makes a tax payment.
Collecting agents who fail to register and go through the tax collection and return formalities with the competent tax authority prior to the opening of business, relocation, change of business, alteration, reorganization, merger, transfer of ownership, or suspension of business pursuant to Article 7 herein shall be subject to a fine of not less than NT$15,000 and no more than NT$150,000.
Businesses that violate the provisions in the first paragraph of Article 8 herein shall be subject to a fine of not less than NT$1,500 and no more than NT$15,000; in case the aforesaid business is an institution, organization, or publicly-owned enterprise or school, the competent tax authority will notify its supervising agency to mete out disciplinary action against its responsible person.
In case a collecting agent fails to collect, under-collect or collect-report, or does not report the amusement tax as required, the competent tax authority may impose to a fine equivalent to five to ten times the amount of tax due and suspend its business operation in addition to ordering it to pay any tax owed.
The competent tax authority should prescribe the duration of business suspension if applicable, which however shall not be more than one month. If the collecting agent still fails to perform its obligations by the end of the imposed period of business suspension, the penalty may continue to be imposed until the agent has discharged its obligations.
Collecting agents who file the tax return late shall be subject to a surcharge.
Chapter V Supplemental Provisions
The enforcement rules for the collection of amusement tax shall be prescribed respectively by the municipal and county (city) government in accordance with this Law and submitted to the Ministry of Finance for record.
This Law shall be in force from the date of promulgation.
In case of any discrepancy between the English version and the Chinese text of this Act, the Chinese text shall govern.