Surplus national tax revenue is to be used to close financing gaps in the Labor Insurance and National Health Insurance funds, subsidize electricity prices and fund a series of initiatives to help weather potential dramatic changes in global economy this year, President Tsai Ing-wen (蔡英文) said in her New Year address at the Presidential Office in Taipei yesterday.
“We will consider sharing excess tax revenue with all citizens only when it is within our fiscal capacity to do so,” Tsai said.
Lawmakers from the Democratic Progressive Party and Chinese Nationalist Party (KMT) have urged the government to return the surplus tax revenue to the public.
Photo courtesy of the Association of Taipei Photojournalists
“I understand that some have proposed that excess tax revenue be equally shared among our people, which would surely make everybody happy,” Tsai said.
“However, as a responsible government, we need to plan ahead when the global economy is fraught with a high level of uncertainty,” she said. “We should prioritize the distribution of valuable resources to individuals and industries at risk to maintain the resilience of the country in times of crisis.”
“This is not an easy decision, but we must do it for our country. We hope that people understand and support this decision,” she added.
The Ministry of Finance estimated that last year’s national tax revenue is expected to exceed the budget by NT$450 billion (US$14.65 million), of which NT$70 billion is to be used to fund the operations of local governments, Tsai said.
Of the remaining NT$380 billion in tax revenue, NT$100 billion is to be allocated to electricity price subsidies and closing the funding gap in the Labor Insurance and National Health Insurance funds, she said.
Another NT$100 billion is to be used to fund government initiatives to withstand potential global economic changes this year, she said.
The initiatives include increasing the housing supply and offering subsidies for renters and those who are on home loans; subsidizing public transport commuters; subsidizing families who are in the middle and low-income range; reinforcing agricultural and fishery infrastructure; attracting 6 million international tourists this year; sustaining stable prices of food and daily necessities; and helping upgrade small and medium-sized industries nationwide, she said, citing decisions made at a National Security Council meeting on Saturday.
Whether this means the government is unlikely to distribute cash or vouchers using the remaining surplus tax revenue as it did in 2020 and last year, Tsai said that closing the financing gap of the Labor Insurance Fund and maintaining stable retail prices are also ways to return tax revenue to the public.
The global economy is likely to be worse than expected this year, and there remains a high level of uncertainty, she said.
“The rest of the tax revenue — NT$180 billion — could enable us to fund subsequent economic stimulus plans. We need to use the money cautiously in case emergency situations occur,” she said.
Tsai said the Presidential Office and the Executive Yuan are together consulting the private sector on the development of six core strategic industries: national defense, war readiness, precision healthcare, renewable energy, cybersecurity, and semiconductor and information technology.
Stability of the Indo-Pacific region is also threatened, she said.
A plan she introduced last week to bolster national defense would enhance Taiwan’s defense through a comprehensive adjustment of the defense systems and by raising the quality and quantity of military training for conscripts, she said.
Civil society groups yesterday protested outside the Legislative Yuan, decrying Chinese Nationalist Party (KMT) efforts to pass three major bills that they said would seriously harm Taiwan’s democracy, and called to oust KMT caucus whip Fu Kun-chi (傅?萁). It was the second night of the three-day “Bluebird wintertime action” protests in Taipei, with organizers announcing that 8,000 people attended. Organized by Taiwan Citizen Front, the Economic Democracy Union (EDU) and a coalition of civil groups, about 6,000 people began a demonstration in front of KMT party headquarters in Taipei on Wednesday, organizers said. For the third day, the organizers asked people to assemble
Taipei is participating in Osaka’s Festival of Lights this year, with a 3m-tall bubble tea light installation symbolizing Taiwan’s bubble tea culture. The installation is designed as a bubble tea cup and features illustrations of Taipei’s iconic landmarks, such as Taipei 101, the Red House and North Gate, as well as soup dumplings and the matchmaking deity the Old Man Under the Moon (月下老人), affectionately known as Yue Lao (月老). Taipei and Osaka have collaborated closely on tourism and culture since Taipei first participated in the festival in 2018, the Taipei City Department of Information and Tourism said. In February, Osaka represented
POOR IMPLEMENTATION: Teachers welcomed the suspension, saying that the scheme disrupted school schedules, quality of learning and the milk market A policy to offer free milk to all school-age children nationwide is to be suspended next year due to multiple problems arising from implementation of the policy, the Executive Yuan announced yesterday. The policy was designed to increase the calcium intake of school-age children in Taiwan by drinking milk, as more than 80 percent drink less than 240ml per day. The recommended amount is 480ml. It was also implemented to help Taiwanese dairy farmers counter competition from fresh milk produced in New Zealand, which is to be imported to Taiwan tariff-free next year when the Agreement Between New Zealand and
Taiwanese professional baseball should update sports stadiums and boost engagement to enhance fans’ experience, Chinese Professional Baseball League (CPBL) commissioner Tsai Chi-chang (蔡其昌) told the Liberty Times (sister paper of the Taipei Times) in an interview on Friday. The league has urged Farglory Group and the Taipei City Government to improve the Taipei Dome’s outdated equipment, including relatively rudimentary television and sound systems, and poor technology, he said. The Tokyo Dome has markedly better television and sound systems, despite being 30 years old, because its managers continually upgraded its equipment, Tsai said. In contrast, the Taipei Dome lacked even a room for referees
RSS