Donations made by profit-making enterprises to the 0403 Hualien Earthquake Disaster Fundraising Account through the Disaster Relief Foundation in 2014 are considered donations to the government and are not subject to any limit on the amount.

In order to assist the areas and residents affected by the Hualien earthquake on April 3, 2014, for-profit enterprises may fully report donation expenses for donations made through the Disaster Relief Foundation (hereinafter referred to as the Disaster Relief Foundation) in fiscal 2014, which shall be set up in accordance with the Public Fundraising Act and shall be subject to the full amount of donation expenses.

The Kaohsiung National Taxation Bureau of the Ministry of Finance explained that according to Article 36, Paragraph 1 of the Income Tax Act, donations to assist national defense construction, comfort the military, donations to governments at all levels, and donations approved by the Ministry of Finance for special projects are not subject to any amount restrictions. The Disaster Relief Foundation is a public foundation under the Ministry of Health and Welfare. All donations for the 0403 Hualien Earthquake Disaster Project are in compliance with the policies and instructions of the Executive Yuan, and are used to assess the needs of the disaster area, emergency medical care, shelter and resettlement, and recovery and reconstruction. Donations made by profit-making businesses to the above-mentioned special account through the foundation are considered donations to the government.

The Bureau reminds that donation expenditures by profit-making enterprises should be in accordance with Article 36 of the Income Tax Act and Article 79 of the Profit-making Enterprise Income Tax Audit Guidelines, and should pay attention to the limits of donation expenses in accordance with relevant laws and regulations and donation objects to avoid being adjusted and taxed by the tax authorities due to non-compliance with regulations, and having interest added in accordance with Article 100-2 of the Income Tax Act. If you have any questions, you can call the toll-free service number 0800-000-321 for inquiries, or go to the bureau’s website (https://www.ntbk.gov.tw) and use the National Taxation Bureau’s smart customer service “National Taxation Assistant” for online inquiries.

Provider: Business Tax Group Contact Person: Li Sufen Contact Number: (07) 725-6600 ext. 7150
Written by: Qiu Huiyu Contact: (07) 725-6600 ext. 7158