The National Taxation Bureau of the Southern Area, Ministry of Finance, stated that according to Article 48-1 of the Tax Collection Act, the requirements for the exemption of penalties apply only when a taxpayer voluntarily files a supplementary tax declaration and makes supplementary payment covering the tax amount which it has failed to declare. Such exemption is applicable only as long as it is neither a case brought about by an informant, nor a case under investigation by an investigator appointed by the tax authorities or the Ministry of Finance. Furthermore, the taxpayer shall be charged with the daily interest accrued on the amount of such supplementary tax for the period from the date immediately following the original deadline for the payment of the tax to the date on which the supplementary tax is paid. Therefore, if a business entity fails to issue a uniform invoice for the sale of goods or services due to negligence and only issues a supplemental one after the deadline for the filing of business tax returns, but fails to file a supplementary tax declaration and make supplementary payment, the provisions for penalty exemption shall not apply.

The Bureau provided the following example: Company A failed to issue a uniform invoice when selling computers to consumers in October 2024. An investigation by the tax bureau revealed that although Company A issued a supplemental uniform invoice on November 20, 2024, which was after the deadline for the filing of business tax returns for that period (November 15, 2024), neither did it file a supplementary tax declaration for the sales amounts of the September-October 2024 period, nor did it make supplementary payment. Consequently, this did not meet the requirements for penalty exemption under Article 48-1 of the Tax Collection Act, and the company was still subject to both the tax collection and penalties.

The Bureau would like to especially remind business entities selling goods or services to issue uniform invoices and declare and pay business tax within the prescribed time limits. If a failure to issue a uniform invoice is discovered after the deadline for the filing of business tax returns, as long as a supplemental uniform invoice is issued, and the taxpayer voluntarily files a supplementary tax declaration and makes supplementary payment covering the tax amount which it has failed to declared with added interest before any case is brought about by an informant or an investigation is conducted by the tax authorities or the Ministry of Finance, the penalty exemption provisions of Article 48-1 of the Tax Collection Act shall apply.

Press Release Contact: Ms. Chiu
Legal Affairs Division
TEL: 06-2223111 ext.8125