The Cabinet yesterday passed an amendment to push back the deadline for collecting outstanding back taxes by five years, a move that is aimed at recovering funds from the most serious evaders, which are said to amount to NT$25.36 billion (US$792.53 million).
A revision of the Tax Collection Act (稅捐稽徵法) in 2007 stipulated that the government has 10 years to collect outstanding back taxes, and March 4 of the next year would be the first deadline that the government has to conclude unsettled cases.
The Executive Yuan yesterday approved an amendment to the act to extend the tax collection period for taxpayers who owe more than NT$10 million in taxes by five years, thereby pushing the deadline to March 4, 2022.
Minister of Finance Sheu Yu-jer (許虞哲) said there are 4,967 tax evasion cases that remain to be concluded, and the outstanding back taxes total NT$27.26 billion.
There are 370 people who owe more than NT$10 million in unpaid taxes, just over a quarter of the total number of people being pursued, but they owe NT$25.36 billion in unpaid taxes, or 93.03 percent of the total, Hsu said.
The amendment would allow government to continue to pursue the nation’s biggest tax dodgers including family members of late business tycoon Huang Jen-chung (黃任中) and the Holiday Inn Asiaworld Taipei.
The amendment was drafted specifically for tax scofflaws, as it is cost-effective to pursue them, Hsu said.
However, the government will no longer collect taxes from those owing less than NT$10 million in unpaid taxes by March 3 next year.
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