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Laws & Regulations Database of The Republic of China (Taiwan)

Print Time:2024/11/22 14:38
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Chapter Law Content

Title: New Town Development Act CH
Category: Ministry of the Interior(內政部)
Chapter 5 Introduction of Population and Industry
Article 22
To promote the introduction of population and industries, the authority may request financial institutions to provide long-term preferential loans, and may allocate special funds from the New Town Development Foundation.
Provisions on the above-mentioned preferential loans shall be prescribed by the central authority.
Article 23
The dwelling houses built by the authority under Article 12 shall be preferentially sold or leased to the families obtaining employment in new towns and other families removed due to public construction, and the commercial, industrial and other urban service facilities shall be preferentially leased or sold through tendering to the industries favorable for the development of new towns.
The conditions for the above-mentioned families obtaining employment in new towns to preferentially rent or purchase dwelling houses will be prescribed by the central competent authority. The range of industries favorable for the development of each new town will be determined by the Executive Yuan considering the development requirements of the new town.
The procedure of preferential sale or lease as referred to in the first paragraph will be prescribed by the central authority.
Article 24
The authority may allocate special areas to encourage investment in the industries favorable for the development of new towns according to the following provisions on tax exemption or reduction:
1.The profitable undertaking income tax payable of that very year may be deducted by up to 20% of the total investment amount; in case the income tax amount of the very year is not enough for deduction, it may be deducted within 4 following years.
2.Where a landownership holder sells the land used for the original project, and purchase land again for business operating in the new town within 2 years commencing from completion of transfer registration, for the balance of the price of the purchased land exceeding the land price of the original land minus the land value increment tax, the holder may, after starting operating, submit application to the taxation department to apply for refund of the shortage for paying the price of the newly purchased land from the land value increment tax already paid. However, in case the newly purchased land is retransferred or changed to use for industries other than listed in the range of encouragement within 5 years commencing from completion of transfer registration, the refunded tax shall be refunded again.
The encouragement as prescribed in Subparagraph 1 is available for the joint stock companies limited.
As for the reduction or exemption prescribed in the first paragraph, where the application is submitted in the 6th to the 10th year commencing from allocation of the special area, the preference will be reduced by a half, and no preference will be offered since the 11th year.
The procedure of encouragements prescribed in the above three paragraphs will be determined by the central authority jointly with the Ministry of Finance and the Ministry of Economic Affairs.
Article 25
After the buildings in a new town special area are completed, the housing tax, land value tax, and deed tax will be exempted in the first year, and reduced by 80% in the second year, 60% in the third year, 40% in the fourth year, and 20% in the fifth year, and no reduction will be offered since the sixth year.
The above-mentioned reduction or exemption of sale contract tax shall be offered only once.
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