Where an individual makes a cash investment in a nationally strategic cultural and creative industry-related domestic, high-risk innovation company, or limited partnership of a defined scope whose establishment has been approved of by the central Competent Authority that has not yet been in operation for a full two years, and where the individual has obtained newly issued shares in or made a capital contribution to said firm or enterprise and has not yet had such a status for a full two years, the investor may, prior to the end of the two-year period, deduct up to 50 percent of the investment amount from his/her total income tax.
Cases of individuals making a cash investment in cultural and creative industries as in the preceding Paragraph of a defined scope and approved of by the central Competent Authority where the National Development Fund under the Executive Yuan is a co-investor and where, for the same case, investment in a single year reaches NT$500,000 and continues for a second year, such individuals may deduct up to 50 percent of the investment amount from their personal income tax.
Where, in a single year, an individual takes the investment deductions stipulated in the preceding two Paragraphs and special investment deductions defined in other laws, the total deduction taken in a given year may not exceed NT$3 million.
For Paragraphs 1 and 2 concerning individuals’ investment deduction, guidelines addressing the scope of the terms high-risk innovation company, limited partnership, case involving a nationally strategic cultural and creative industry; as well as conditions, deduction rate (percentage), application period, application procedure, methods of calculation, and other related matters shall be drafted by the central Competent Authority in conjunction with the Ministry of Finance.
The stipulations of Paragraph 1 and Paragraph 2 shall be in force for 10 years.