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Local governments deep in debt: National Audit Office

2012/11/22 23:04:30

Taipei, Nov. 22 (CNA) Taiwan's local governments reported public outstanding debt totaling NT$882.2 billion (US$30.27 billion) last year, according to an annual financial report published by the National Audit Office Thursday.

Topping the debt list was Kaohsiung City government, which reported NT$203.2 billion in debt last year, followed by Taipei City government, with NT$202.8 billion of debt, the office said.

The outlying Kinmen County and Lienchiang County governments, meanwhile, did not report any outstanding debt, the office added.

In addition, hidden government debt, including accounts payable for subsidies in national health insurance, labor insurance, and employment insurance, totaled NT$127.4 billion, the office said.

Tax revenue accounted for only 29.17 percent of a local government's annual revenue, and yet it was their biggest revenue source, the office said.

Making matters worse were 2,000 cases of outstanding tax return payments last year, with each case being worth more than NT$100,000, the office said.

(By Yeh Su-ping and Ann Chen)
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