Taiwan’s Cabinet agreed an amendment to the draft law that would give corporate tax deductions to small and medium businesses that raise pay for their lower-level employees.
The amendment suggests a 130% tax deduction for small- and medium-sized enterprises against corporate income tax. The deduction will also increase in payroll expenses for entry-level employees. However, this proposal will only applicable to small and medium-sized companies’ domestic lower-level employees, rather employees at the levels of managers or higher in order to inspire small and medium enterprises.
This draft bill is now waiting to be tabled in parliament for the parliamentary approval.
