萬國法律事務所

Following the global trend towards a greener world, Taiwan’s Executive Yuan has proposed an amendment to the Commodity Tax Act according to which tax incentives would be given to people who buy dual fuel LPG cars.

Currently, the fuels mainly used in automobiles are gasoline and diesel oil, both of which lead to high emissions of carbon dioxide. The Environmental Protection Administration of the Executive Yuan has thus advocated the “Dual Fuel LPG Cars Plan.” As part of the Plan, on November 26, 2009, the Amendment to the Commodity Tax Act regarding dual fuel LPG cars was passed by the Executive Yuan, following which, a legislative process has been launched. According to the Amendment, a tax abatement of NT 25,000 dollars will be given in cases where dual fuel LPG cars are bought and registered within five years from the date on which provision comes into force.

The Minister of the Executive Yuan, Wu Duen-Yi, urges immediate communication between the Ministry of Finance, the Environmental Protection Administration, and the Legislative Yuan, hoping that the amendment will be passed by the Legislative Yuan as soon as possible. Promoting high performance and low pollution automobiles, says Wu, is a significant policy of our Government at the present stage. Such policy will make our society more environmentally friendly as well as invigorate the automobiles industry in Taiwan.

The aforementioned tax incentives are expected to increase the sales volume of dual fuel LPG cars by 5200 units in the five years following its enactment. The Environmental Protection Administration has set a goal of having the total number of dual fuel LPG cars in Taiwan exceed 150,000 in 2012.