Commodities list in this Act, whether manufactured domestically or imported from abroad shall be subject to commodity tax in accordance with this act except as otherwise provided by any other laws.

The taxpayer and the time of collection of the tax on the commodity tax are as follows:
1. In the case of a manufacturer of goods, the taxpayer is the manufacturer, and the tax is collected upon release from the factory.
2. In the case of a manufacturer of goods on a consign-process contract, the taxpayer is the manufacturer of the processed goods, and the tax is collected upon release from the factory.
3. In the case of imported goods, the taxpayer is the consignee or the holder of the bill of lading or of the goods, and the tax is collected upon importation.
4. In the case of an auction or sale, by a court or other institution, of taxable goods for which the tax has not been paid, the taxpayer is the winning bidder, the purchaser, or the assumer of the goods, and the tax is collected at the time of the auction or sale.
5. In the case of untaxed goods that lose its tax-exempt status due to a transfer or a change in purpose of use, the taxpayer is the person initiating the transfer or the person who change the purpose of use, and the tax is collected at the time of the transfer or the change in purpose of use. However, in the event that the transferring party or the party that changes the purpose of use is unknown, the taxpayer is the holder of the goods.
For the goods prescribed in Subparagraph 2 of the preceding paragraph, if the consignor is a manufacturer of taxable goods, the consignor can apply to the tax collection authority in charge for taking the consignor as taxpayer.
Goods deemed as “removal from the factory” in any of the following conditions:
1. Goods provided in the factory for consumption.
2. Goods processed in the factory into non-taxable products.
3. Goods in the factory transferred to another person except the case of an auction or sale by a court or other institution.
4. Goods in stock when the manufacturer applies for de-registration.
5. Untaxed goods destroyed or reduced in quantity for a reason other than fire, water or other uncontrollable calamity after transport to factories for processing, packing or storage in untaxed warehouses or in factories.

Commodities which meet any of the following conditions shall be exempt from Commodity tax:
1. Raw materials used for manufacturing other taxable commodities.
2. Export goods.
3. Goods for exhibition but not for sale.
4. Goods supply for troop-cheering.
5. Goods supply directly for military use with the approval of the Ministry of National Defense.
The rules governing tax exemption as mentioned in the preceding paragraph shall be prescribed by the Ministry of Finance.

Commodity tax paid or recorded on account as paid on commodities which meet any of the following conditions shall be refunded or offset:
1. Export goods.
2. Raw materials used for manufacturing export goods.
3. Unsaleable goods returned to factory for reprocessing or for refining into similar goods which are subject to commodity tax.
4. Unsaleable goods for reason of damage. However, if the quantity of goods is less than one tax unit or if the original tax payment certificate is lost, no tax will be refunded.
5. Goods physically destroyed in transit or in storage by fire or water or other calamities beyond control.
The rules governing tax refund or offset as mentioned in the preceding paragraph shall be prescribed by the Ministry of Finance.
Tax-exempt goods that are destroyed or reduced in quantity after importation or removal from the manufacturer’s premises for reasons other than that described in Item 5 of the preceding paragraph shall be subject to commodity tax pursuant to this Act.