Residents of the R.O.C. are entitled to have the following exemptions and deductions:

(1) Exemption: There is an NT$97,000 exemption for each taxpayer, spouse, and dependent. In the case that the taxpayer, his/her spouse, or their lineal ascendants have attained 70 years of age, the exemption will be NT$145,500. The dependents must be:

1. Lineal ascendants of the taxpayer or his/her spouse having attained 60 years of age or being incapable of earning a livelihood and being supported by the taxpayer.
2. Children of the taxpayer who are minors, or who, although having attained the age of majority, are being supported by the taxpayer by reason of their studying in school, or having physical or mental disability, or being incapable of earning a livelihood.
3. Brothers and sisters of the taxpayer or his/her spouse who are minors, or who, although having attained the age of majority, are being supported by the taxpayer by reason of their studying in school, or having physical or mental disability, or being incapable of earning a livelihood.
4. Other relatives or members of the family of the taxpayer as defined in accordance with Subparagraph 4, Article 1114, or Paragraph 3, Article 1123 of the Civil Code who are minors, or who, although having attained the age of majority, are actually being supported by the
   taxpayer by reason of their studying in school, or having physical or mental disability, or being incapable of earning a livelihood, and live together with and depend on the taxpayer.

To claim exemption for the spouse or the dependent (excluding other dependents, i.e. aunt or uncle, cousin, grandchild, and nephew or niece) who does not reside with the taxpayer in the R.O.C., the household registration or the official certificates of the dependent should be submitted.

(2) Deductions: A taxpayer may select either the “Standard Deduction” or “Itemized Deductions” and may, in addition thereto, declare special deductions:

1. Standard Deduction: There is an NT$131,000 deduction for a single person and an NT$262,000 deduction for a married couple filing a joint return (even if only one of the couple had income).
2. Itemized Deductions: Original receipts for (a) to (f) deductions below must be attached.
   1. Donation:
      i. The following kinds of donation are fully deductible: Donations made to national defense, for encouragement of the morale of members of the armed forces, to the government, or to non-departmental public bodies; the artifacts, specimens, works of art or facilities to public museums under the Museum Act; for the maintenance and repair of antiquities, historic buildings, under the Cultural Heritage Preservation Act; to the National Culture and Arts Foundation or the cultural foundations of municipalities, counties or cities the artifacts, works of art, monuments, etc., to the government under the Culture and the Arts Reward and Promotion Act; or to unspecified athletes through a designated account set up by the central authority under the Sports Industry Development Act.
      ii. The deduction of the following kinds of donation should not be more than 20% of gross income: Donations made to officially registered educational, cultural, public welfare, and charitable organizations or agencies, or to specific athletes through a designated account set up by the central authority under the Sports Industry Development
      Act.
   2. Insurance Premiums: Premiums paid for life insurance, labor insurance, national annuity insurance, employment insurance and insurance for military personnel, public functionaries and teachers, of the taxpayer, his/her spouse, and their lineal dependents filing jointly are deductible. However, the deductions, excluding those for national health insurance, shall not exceed NT$24,000 for each person per year; premiums paid for national health insurance are fully deductible.
   3. Medical and Maternity Expenses: Medical and maternity expenses incurred by the taxpayer, his/her spouse, and their dependents filing jointly and supported by the taxpayer are deductible, provided that the payment so made is limited to public hospitals, specially contracted hospitals or clinics for the National Health Insurance, or those hospitals having complete and correct accounting records as recognized by the Ministry of Finance. However, no deduction shall be allowed for the portion covered by insurance payments. Claims for deductions of fees paid to foreign hospitals must be supported by evidence of the officially registered status of the hospital concerned. If the taxpayer, his/her spouse, or any dependent in a joint return, who needs long-term nursing services due to lack of capacity to take care of himself/herself, may submit the medical payment receipts from the hospitals or clinics mentioned above for deduction.
   4. Losses from Disasters: Losses from disasters or force majeure inflicted on the taxpayer, his/her spouse, and their dependents filing jointly are deductible. However, no deduction may be made for the portion of losses where insurance benefits and/or relief have been received. To claim a deduction, the taxpayer should apply to the tax authorities for an investigator to appraise the losses within 30 days after the occurrence of the disaster.
   5. Mortgage Interest Paid on a Loan for an Owner-Occupied Residence: A taxpayer, his/her spouse, and their dependents filing jointly borrowing money from a financial organization to purchase a house or other property in the R.O.C. for use as an owneroccupied residence may deduct the interest paid on the loan from the gross income on one filing unit per year up to a limit of NT$300,000. Such a deduction is limited to one house or other property only. However, if the taxpayer also claims a special deduction for savings and investment (please refer to item (b) of C. of (2) of Article 12), the special deduction should be subtracted from the abovementioned interest.
3. Special Deductions:
   1. Special Deduction for Property Transaction Losses: Losses from property transactions may be deducted from the gains derived from property transactions for the same year. However, losses arising from tax-exempt property transactions are not deductible. If the deductible amount exceeds the gains, the difference may be carried forward for up to 3 years. 
   2. Special Deduction for Savings and Investment: Interest derived from deposits made in financial institutions and profits accrued from trust funds with the nature of savings, as well as dividends occurred from the transaction, gift, or inheritance of the taxdeferred stocks divided before December 31, 1998 received by a taxpayer, his/her spouse, and the dependents filing jointly listed in his/her gross income return for taxation may be exempt from income tax in full, if the total amount of such income for the whole year does not exceed NT$270,000. If the amount exceeds NT$270,000, the deduction shall be limited to NT$270,000. However, the following kinds of interest are excluded from the special deduction for savings and investment:
      i. The interest accrued from postal passbook savings under the provisions of the Postal Remittances and Savings Act;
      ii. The interest derived or accrued from government bonds, corporate bonds, financial bonds, and short-term commercial papers;
      iii. The interest derived from asset-backed securities issued in accordance with the Financial Asset Securitization Act and the Real Estate Securitization Act;
      iv. The interest derived from repo (RP/RS) trade whereby an individual purchases securities or short-term commercial papers as listed in preceding items ii. and iii from January 1, 2010.
   3. Special Deduction for Disability: 
      There is an NT$218,000 deduction for each taxpayer, spouse, and dependent who is a mental patient or a disabled person. A copy of the disability identification issued by the relevant authority of the R.O.C. in  accordance with the provision of applicable laws should be attached when claiming this deduction. 
   4. Special Deduction for Tuition: 
      The taxpayer may claim a maximum deduction of NT$25,000 for each child attending college/university (the student certificate and tuition receipt should be attached when claiming the deduction). However, no deduction can be claimed for a child who is attending an open university, an open junior college, or a five-year junior college for the first three years, as well as collecting a government subsidy.
   5. Special Deduction for Pre-School Children: 
      For a taxpayer who has children under or equal to 6 years of age, the amount of deduction for the first pre-school child is NT$150,000 per year; the amount of deduction for a second child and more is NT$225,000 per child per year.
   6. Special Deduction for Long-Term Care: 
      The taxpayer, his/her spouse or any dependent who has a physical or mental disability and requires long term care services, as Explanatory Decree No. 11304656750 announced by the Ministry of Health and Welfare, shall submit the relevant documents to claim the special deduction of NT$120,000 per person per year if his/her circumstances do not fall under any of the conditions (see Notes).
   7. Special Deduction for Rent for Housing: 
      Rent for housing in the R.O.C. paid by a taxpayer, his or her spouse, and lineal dependents and used as their own residence rather than for business or performing professional services, may be deducted from their consolidated income up to a limit of NT$180,000 per year per tax return, not including government subsidy, if his/her circumstances do not fall under any of the conditions (see Notes). However, no deduction shall be made for taxpayers, their spouses, or lineal dependents who own a house in the R.O.C., unless the self owned house meets the conditions mentioned in Explanatory Decree No. 11304656750.
      Notes:
      i. After deducting the long-term care deduction and rent for housing deduction, the tax rate is equal to or greater than 20% or the tax rate of the taxpayer’s or his/her spouse’s separately computed salary or categorized income is equal to or greater than 20% 
      ii. Opting for the single tax rate of 28% on the total amount of the dividends and earnings computed separately. 
      iii. The amount of the basic income is greater than NT$7,500,000.

(3) Basic Living Expense Difference: The basic living expense per person, NT$210,000, announced by the central authority in 2024, will be multiplied by the number of taxpayer, spouse, and dependents of that tax return to compute the total basic living expense. If the amount of total basic living expense is higher than the sum of exemptions, standard deduction (or itemized deduction), special deduction for savings and investment, special deduction for disability, special deduction for tuition, special deduction for pre-school children, special deduction for long-term care, and special deduction for rent for housing, the difference can be used as an additional deduction from the gross consolidated income.

If a resident of the R.O.C. intends to depart and will not return within the same calendar year, the amounts for exemptions, standard deduction, and basic living expense shall be calculated in proportion to the total number of days he/she stayed in the R.O.C.
 

► Table of Exemption and Deduction

• The Table of Exemption and Deduction from Year 2019 to Year 2025 [PDF]

► Table of Basic Living Expense

• The Table of Basic Living Expense from Year 2019 to Year 2024 [PDF]