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Regulations Governing Travel Agencies CH

Announced Date: 2023-07-26
Content:
Amendment to Article 3、21、43、49、50、53,addition to Article 18-1 promulgated on July 26, 2023
Article 3
Travel agencies are divided into consolidated travel agencies, Class-A travel agencies, and Class-B travel agencies.
The business scope of consolidated travel agencies shall consist of the following:
1.) Being commissioned to sell passenger tickets for domestic or foreign land, sea, and air transportation operators, or to buy domestic or overseas passenger tickets and to handle shipment of luggage for travelers.
2.) Being commissioned to handle inbound and outbound procedures and visa applications for travelers.
3.) Soliciting of business from or receiving domestic and overseas tourists, and arranging for their tours, food, accommodation, and transportation.
4.) Arranging domestic and overseas tours, food and accommodation, and transportation for travelers as well as related services, through chartered or self- organized tour packages.
5.) Commissioning of Class-A travel agencies to solicit business as indicated in the preceding sub-paragraph.
6.) Commissioning of Class-B travel agencies to solicit domestic tour group business as indicated in sub-paragraph 4 of this article.
7.) Handling of communication, promotion, and price quotation on behalf of foreign travel agencies.
8.) Planning of domestic and overseas tours, and arranging for tour guides or tour managers.
9.) Providing of advice on domestic and overseas tours.
10.) The sale of travel-related merchandise and services, the collection of fees via online platforms and phone applications, and the collection of travel-related insurance premiums for products offered by collaborating insurance companies.
11.) Operating other domestic and overseas tour-related businesses as approved by the central administrative authority.
The business scope of Class-A travel agencies shall consist of the following:
1.) Being commissioned to sell passenger tickets for domestic or foreign land, sea, and air transportation operators, or to buy domestic or overseas passenger tickets and to handle shipment of luggage for the traveler.
2.) Being commissioned to handle inbound and outbound procedures and visa applications for travelers.
3.) Soliciting of business from or receiving domestic and overseas tourists; arranging for their tour, food, accommodation, and transportation.
4.) Arranging of overseas tours, food and accommodation, and transportation for travelers as well as provision of related services, through self-organized tour packages.
5.) Soliciting of businesses as indicated in sub-paragraph 5 of the preceding paragraph on behalf of consolidated travel agencies.
6.) Handling of communication, promotion, and price quotation on behalf of foreign travel agencies.
7.) Planning of domestic and overseas tours, and arranging for tour guides or tour managers.
8.) Providing of advice on domestic and overseas tours.
9.) The sale of travel-related merchandise and services, the collection of fees via online platforms and phone applications, and the collection of travel-related insurance premiums for products offered by collaborating insurance companies.
10.)Operating other domestic and overseas tour-related businesses as approved by the central administrative authority.
The business scope of Class-B travel agencies shall consist of the following:
1.) Being commissioned to sell passenger tickets for domestic land, sea, and air transportation operators, or to buy domestic passenger tickets and handle shipment of luggage on behalf of travelers.
2.) Soliciting of business from or receiving domestic tourists or foreigners with legal residence permits, including the people of the Mainland Area, the residents of Hong Kong and Macau; arranging for tours, food and accommodation, and transportation; and providing of related services.
3.) Soliciting of businesses related to domestic group tours on behalf of consolidated travel agencies as indicated in sub-paragraph 6 of Paragraph 2 of this Article.
4.) Planning of domestic tours.
5.) Providing of advice on domestic tours.
6.) The sale of travel-related merchandise and services, the collection of fees via online platforms and phone applications, and the collection of travel-related insurance premiums for products offered by collaborating insurance companies.
7.) Operation of other domestic tour-related businesses as approved by the central administrative authority.
The businesses as stipulated by the preceding three paragraphs may not be conducted unless the operator has duly received travel agency operating license. Such restrictions shall not apply to the selling of passenger tickets for ordinary domestic sea, land or air transportation.

Article 18-1
If a registered branch of a foreign travel agency in the ROC needs to change its business representative, it should submit for approval the following documents to the Tourism Bureau of the Ministry of Transportation and Communications:
1.)A completed application form
2.)A letter of authorization for the new business representative
3.)Identity papers for the above representative
If a foreign travel agency needs to change its business address, it should submit for approval the following documents to the Tourism Bureau of the Ministry of Transportation and Communications:
1.)A completed application form
2.)An original letter of consent from the building owner at the new address
If the operator of a foreign travel agency branch in the ROC decides to close the branch, it should submit for approval the following documents to the Tourism Bureau of the Ministry of Transportation and Communications:
1.)A completed application form
2.)Document of proof showing that the business representative has been relieved of his/her responsibilities.

Article 21
A travel agency that intends to suspend operations for more than one month shall submit an application, with reasons for suspension stated, along with the minutes of theshareholders’meeting or written agreement of the shareholders to the Tourism Bureau for filing within fifteen days following the suspension, and shall return all its registration and license.
An application as indicated in the preceding paragraph may not be made for a suspension of operations in excess of one year. A travel agency may however apply, with reasonable justifications, for an extension of suspension for up to one year. The application for extension should be filed within the final fifteen days of the original period of suspension.
After the suspension period expires, the travel agency should apply for business resumption with the Tourism Bureau within fifteen days and reclaim its registration and license.
Having applied for business suspension in accordance with the provisions of Paragraph 1 of this Article, a travel agency may not engage in any business during the suspension period unless it has applied for business resumption with the Tourism Bureau.
If a travel agency suspends operations for more than one month, it shall, within 15 days of passage of a stockholder resolution/agreement approving this suspension, submit for approval the following documents to the Tourism Bureau of the Ministry of Transportation and Communications. These documents apply for the voiding of its tourism license and the identification cards for dedicated delivery personnel. In the event that the agency fails to do so within the prescribed time frame, the Tourism Bureau of the Ministry of Transportation and Communications may unilaterally void its tourism license and the identification cards for its dedicated delivery personnel.
1.)Completed application form
2.)Minutes of the stockholders meeting that includes passage of the relevant resolution or agreement
3.)A copy of the company’s articles of association
4.)The original tourism license and identification cards for dedicated delivery personnel
In the above situation, after the change has been finalized the agency’s business representative may apply to the Tourism Bureau of the Ministry of Transportation and Communications for a return of agency’s security deposit.

Article 43
When handling inbound or outbound procedures on behalf of the traveler, a consolidated or Class-A travel agency shall apply to the Tourism Bureau, or another travel industry related entity mandated by the Tourism Bureau, for the issuance of an identification pass for designated document delivery personnel, shall assign designated personnel for such delivery, and shall closely supervise such personnel.The number of identity cards applied for will be announced by the Tourism Bureau of the Ministry of Transportation and Communications.
A consolidated or Class-A travel agency shall arrange the safekeeping of its identification passes for designated document delivery personnel, shall not lend such passes to another travel agency or a non-travel services operator, and, in the event of damage to or loss or destruction of an identification pass, shall apply for its replacement or reissuance, submitting a written explanation of the reasons; In the event that an original identity card loses its validity, the travel agency shall within 10 days return the identity card to the Tourism Bureau of the Ministry of Transportation and Communications or its entrusted travel agency. If it fails to do so, the Tourism Bureau of the Ministry of Transportation and Communications shall cancel the card’s validity.
A fee of one hundred and fifty New Taiwan dollars shall be payable for each issuance, replacement or reissuance of a designated document deliverer identification pass.
When a consolidated or Class-A travel agency handles inbound or outbound procedures on behalf of travelers, and commissions the delivery of documents to another travel agency, the two travel agencies shall execute a written commission contract.
Matters concerning the mandate referred to in the first paragraph of this article, and the legal basis thereof, shall be publicly announced and published in government bulletins or newspapers.

Article 49
A travel agency may not engage in any of the following behaviors:
1.) Handling inbound and outbound procedures or visa application on behalf of a tourist with prior knowledge of the untruthfulness of that tourist certificates or documents.
2.) Having discovered a violation of Article 27 of the Regulations Governing Tour Guides by a tour guide in its employment, and not denouncing such violation.
3.) Engaging in business with a foreign travel agency that has been disqualified by related government agencies.
4.) Allowing the representative office of a foreign travel agency to be established in its company without completing due reporting and approval procedures.
5.) Engaging in document delivery or collection for a non-travel services operator.
6.) Engaging in foreign exchange arbitrage or unauthorized foreign exchange in business operations.
7.) Commissioning travelers to carry goods for profit.
8.)Arranging tourist activities that violate laws and regulations of the R.O.C. or of the local government of the tourist destination.
9.) Arranging tourist activities without consent from the tourists.
10.) Arranging for travelers to purchase goods at prices that do not reflect their quality, or forcing them to go into or make purchases in a store.
11.) Attempting to sell an item to a tourist, or facilitating such a sale via a third party, without prior declaration of such a sales effort in the travel documents and without receiving the tourist’s prior consent.
12.) Taking payment from tourists for leaving the tour group during the tour, or demanding other extra undue charges.
13.) Taking a tour group overseas without having made appropriate arrangements for visas, airplane seats or accommodation as specified in the contract.
14.) Violating the principle of good faith in transaction.
15.) Collecting payment or capital from non-specific persons under false pretenses when no tour is organized.
16.) Failing to be present on the scheduled date for tour dispute settlement without justifiable reasons after having been duly notified by the Tourism Bureau.
17.) Failing to note the passenger’s name on the air ticket when selling air tickets.
18.)Failing to specify the departure date of itinerary in the order documents when selling the travel products.
19.) Failing to comply with administrative and supervisory rules set by the Tourism Bureau while operating travel businesses.

Article 50
Employees of a travel agency may not engage in any of the following behaviors:
1.) Transferring to another travel agency before completing the leave procedures.
2.) Lending identification passes for designated document delivery personnel to be used by others.
3.) Being simultaneously employed by another travel agency.
4.) Covering up for an unqualified tour manger to lead tourist groups on an overseas tour.
5.) Covering up for an unqualified tour guide to receive or guide tourists visiting the ROC from overseas or mainland China.
6.) Conducting advertisement of tourism products through the internet without permission.
7.) Engaging in behavior indicated in sub-paragraph 1, sub-paragraph 2, sub- paragraph 5 to sub-paragraph 11 of the preceding article.

Article 53
When operating tours for groups or individuals, or receiving tourist groups or individuals from foreign countries or mainland China, a travel agency shall purchase liability insurance with the pertinent coverage and minimum insured value as specified below:
1.) A minimum of NT$2.5 million and a maximum of NT$5.0 million per person for the accidental death of a tourist or accompanying employee.
2.) A minimum ofr NT$100,000 and a maximum of NT$200,000 per person for medical expenses related to bodily injury incurred by a tourist or accompanying employee.
3.) Necessary transportation expenses incurred by family members of travelers or accompanying service personnel going overseas or coming to the ROC to handle accident-related problems:NT$100,000 per person; for handling matters related to domestic travel:NT$50,000 per person.
4.) Reparation for loss of travelers’ or accompanying persons’ identification documents:NT$2,000 per person.
When operating domestic or overseas tours, a travel agency shall purchase a performance bond insurance policy, with the pertinent coverage and minimum insured value as specified below:
1.) NT$60 million for consolidated travel agencies.
2.) NT$20 million for Class-A travel agencies.
3.) NT$8 million for Class-B travel agencies.
4.) Additional insurance of NT$4 million shall be required for each branch company of a consolidated travel agencies or Class-A travel agency, and additional insurance of NT$2 million shall be required for each branch company of a Class-B travel agency.
A travel agency that has obtained membership in a public interest association for tourism that is recognized by the central administrative authority as a competent agent for safeguarding the interests of tourists is not applied to the preceding paragraph and shall purchase a performance bond insurance policy with the minimum insured value as specified below:
1.) NT$40 million for consolidated travel agencies.
2. NT$5 million for Class-A travel agencies.
3.) NT$2 million for Class-B travel agencies.
4.) Additional insurance of NT$1 million shall be required for each branch company of a consolidated travel agencies or Class-A travel agency, and additional insurance of NT$500,000 shall be required for each branch company of a Class-B travel agency.
The scope of the performance bond insurance shall cover required payments to travelers, within the amount of the insured value incurred on a travel agency that has failed to deliver part or all of the tourist programs originally arranged due to financial problems resulting in the inability of the agency to fund part or all of the necessary expenses for travel affairs.