Travelers returning to Taiwan from overseas could soon enjoy a duty exemption of up to NT$35,000 per person, up from the current NT$20,000, based on a proposed amendment to the Regulations Governing the Declaration, Inspection, Duty and Release of Personal Luggage or Goods of Inbound Passengers (入境旅客攜帶行李物品報驗稅放辦法).
The rules state that, except for control led goods and tobacco or liquor products, luggage or goods for personal or home use outside the allowed duty-free items are exempt from duty if the total duty-paid value is under NT$20,000.
However, such a provision would not be applicable to passengers who are carrying goods for business or commercial use, or who frequently travel in and out of the country and have prior records of customs duty breaches.
Photo courtesy of Taoyuan International Airport Corp
The Customs Administration said that the rules were stipulated in 1989, and both the consumer price index (CPI) and consumers’ spending power have increased in the past 35 years. Some have suggested that the criteria set for duty exemption need to be reviewed.
The duty exemption would be increased to NT$35,000 per person following negotiations among officials of the Customs Administration and Taxation Administration, the Customs Administration said, adding that the proposal would need to be approved by the Executive Yuan.
The increase in tax exemption would be in line with the increase in the CPI, it said.
Customs Administration officials said the amount was set after referencing that in other countries. Japan’s duty exemption was about ￥200,000 (US$1,350), while in South Korea it is US$800.
Data from the Directorate-General of Budget, Accounting and Statistics showed that since 1989, Taiwan’s CPI has risen almost 70 percent.
The amendment could take effect during the first half of this year, the Customs Administration said.
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