The Taipei National Tax Administration (TNTA), Ministry of Finance said that foreign passengers, who shop in Taiwan, please remember to ask for the Uniform Invoice, while businesses that sell products or provide services must voluntarily give customers Uniform Invoices in accordance with the law.

The TNTA indicated that a foreign passenger, who purchases goods eligible for VAT refund with a total value of NT$3,000 or more (VAT-inclusive) on any single day from one store with “TRS” label and who exits the territory of the Republic of China with the goods within 30 days from the date of purchase, may upon departure files a claim with a proper check of goods by the Customs for a refund on the VAT paid. Furthermore, if a foreign passenger purchases eligible goods at the store with “Authorized Cash Tax Refunds-TRS” label, and the accumulated VAT refund is NT$1,000 or less (the total value of goods is about NT$21,000 worth on VAT-inclusive price) on the same day, he or she can choose to claim on-site small-amount VAT refund at that very store. When foreign passengers claim for VAT refund, in addition to showing the original entry permit, they must provide the original Uniform Invoice as another important proof for VAT refund; thus, while shopping, foreign passengers should remember to ask for an Uniform Invoice.

The TNTA explained that under Article 52 of the Valued-added and Non-value-added Business Tax Act, a business entity found to have failed to issue uniform invoices or understated sales amount on uniform invoices, in addition to paying the tax calculated on the basis of the understated or omitted sales amount at the prescribed tax rate, shall be fined one to ten times of the amount of the tax evaded. Business entities found to have committed such violation three times within a one-year period shall be suspended from business operation.

The TNTA further explained that the Uniform Invoice is not only a main documentary evidence for accounting records, it is also the taxation basis of the business tax since our business tax imposed is included in the selling price of taxable goods and services. Therefore, if customers don’t ask for an Uniform Invoice while shopping, it will be more likely to give unscrupulous businesses an opportunity for tax evasion, which will thus affect the fairness and justice of tax collection.

The TNTA urged consumers to ask for Uniform Invoices. In addition to having a chance to win NT$10,000,000 prize, foreign passengers, who purchase specific goods in Taiwan, are also eligible for VAT refund upon departure. So don’t loss your right!