Bills passed to scrap amusement taxes for cinemas, live performances

Taipei, April 24 (CNA) Taiwan's Legislative Yuan on Friday passed amendments to the Amusement Tax Act, removing taxes on cinemas, stage performances and a wide range of live entertainment and sporting competitions.

Prior to passage of the revisions, amusement taxes were levied on ticket sales or admission fees across different venues in Taiwan.

The taxes ranged from up to 10 percent for sports competitions to 30 percent for live performances such as concerts and magic shows and 60 percent for cinemas.

Under the revised law, the amusement tax will be removed for cinemas and a wide range of live performances, including concerts, storytelling and dance performances, circuses, magic and acrobatic shows, and sporting competitions.

Although dance halls were excluded from the tax break, their maximum rate was lowered from 100 percent to 50 percent under the amendments, while golf courses can still be taxed at up to 20 percent and other establishments designated by the Ministry of Finance as entertainment venues can be taxed at up to 25 percent.

The amendments stipulate, however, that local governments may suspend the tax on those venues if necessary, subject to local council approval and notification to the Ministry of Finance.

In September 2024, the Cabinet approved the amendments drafted by the Ministry of Finance to encourage public participation in cultural and sporting events.

The Legislative Yuan's Finance Committee recently reviewed the proposed amendments, with ruling and opposition lawmakers agreeing on the changes and completing a preliminary examination of the bill.