Meanwhile, legislators from the pan-green camp said the KMT would experience difficulties in pushing what it deems urgent bills through the legislature in the extra session.
DPP Legislator Ker Chien-ming (柯建銘) said the amendment to the Income Tax Act (所得稅法), designed to drop the 8,500-point threshold that would automatically trigger a capital gains tax on securities transactions, might be the only one passed in today’s plenary session.
The DPP hoped that only the tax amendment would be addressed in the extra session because all the other draft legislation on the agenda of the session, decided by the KMT, “would do the nation more harm than good,” Ker said.
TSU caucus whip Hsu Chung-hsin (許忠信) said the TSU would try to block all bills, except amendments to the Income Tax act.
The TSU has vowed to paralyze legislative proceedings in the extra session to force the KMT to agree to its three demands on the service trade pact.
The three demands were that provisions under the service trade agreement be reviewed and voted on article-by-article by the legislature, that Premier Jiang Yi-huah (江宜樺) present it at a question-and-answer session with lawmakers and that the pact be a priority in an extra legislative session next month or in August.
Only if the KMT agreed to review only the amendments to the act would the TSU refrain from blocking the plenary meeting today, Hsu said.
The extra session was scheduled to end on Thursday, with a plenary meeting for second and third readings of bills set for today only.
Other than the Income Tax Act, the KMT wished to push through amendments to Public Debt Act (公共債務法) concerning budget allocations for local governments, to enact a senior secondary education act (高級中等教育法) as a legal basis for the planned 12-year education scheme and to pass the proposal to hold national referendum to decide the fate of the Fourth Nuclear Power Plant in Gongliao District (貢寮), New Taipei City (新北市).
If the plenary session can proceed smoothly, the KMT-proposed amendment to the Income Tax Act is expected to be voted on although there are still some points of disagreement among lawmakers.
The DPP and the TSU agreed on removing the requirement that the TAIEX surpass 8,500 points for the tax to be imposed on most individual investors and to imposing the tax only on investors who sell NT$1 billion (US$33.3 million) worth of shares during one calendar year instead.
The DPP, TSU and some KMT lawmakers disagreed with the KMT’s version of the amendment, in which investors are taxed based on actual gains from initial public offerings.
The People First Party (PFP) has its own version of the amendment which is to impose a tax on annual capital gains of more than NT$4 million for individual investors.
If this is not accepted, the capital gains tax should not be enacted on any investor no matter how much they earn, the PFP said.