The Legislative Yuan of the Republic of China has promulgated ¡uThe Income Basic Tax Act¡von December 9, 2005. The Income Basic Tax Act is more often known as Alternative Minimum Tax (AMT). This is a tax act to increase tax levies first time in twenty years. The enactment of Alternative Minimum Tax ensures a significant improvement on tax equity in Taiwan. For the past decades, the government has adopted a variety of tax exclusions, deductions, and credits in an attempt to achieve economic growth and social stability. Consequently, only very few percentages of people take advantages of these tax preferences, and an increasing number of people are losing their faith in the tax system. For this reason, the Ministry of Finance introduced Alternative Minimum Tax to solve the problems caused by the growing tax preferences, It is essential to revise all unfair tax preferences and outdated tax regulations to rebuild a better tax system. Surprisingly, tax preferences are sprinkled in more than thirty different laws. It is very difficult to have a complete overhaul. Learning experience from other countries, the Ministry of Finance now has enacted Alternative Minimum Tax. The high-income individuals and highly profitable corporations that used to pay little or no tax shall pay at least a minimum percentage of income tax for their tax liability. It is believed that much unfairness resulted from the abuse of tax preferences can possibly be avoided.
The goals of taxation are not only to levy and collect tax to raise revenues in providing funds with which the government operates but also to reallocate nation¡¦s resources and maintain a stable society. The countries with free-market economy all highly value the equity or fairness of a tax system in order to attain the goals of taxation. Because our current tax system and collection process are outlined under Territoriality Principle and Physical Objects Trade assumption, the process of transaction and taxable entity can be clearly defined. Nevertheless, under Alternative Minimum Tax, the acknowledgement on taxpayers, sources of income, and types of income has become disputatious. As a result, the issues such as taxable entity, taxable scope, collection process, and tax evasion have started to surface.
This study mainly explores the impacts and influences that Alternative Minimum Tax has brought to taxable entities, taxable basis and collection process under the current tax system. This study also discusses the latest development and collection problems that Alternative Minimum Tax facing. In conclusion, by using Delphi Technique, questionnaires, and integrating opinions from industry and government sectors, this study has made an effort to present some feasible and concrete suggestions for taxation authority to regulate new policies and draw up more effective strategies for taxation management based on Alternative Minimum Tax.
| Identifer | oai:union.ndltd.org:NSYSU/oai:NSYSU:etd-0712106-153116 |
| Date | 12 July 2006 |
| Creators | Zhou, Min-zu |
| Contributors | none, none, none |
| Publisher | NSYSU |
| Source Sets | NSYSU Electronic Thesis and Dissertation Archive |
| Language | Cholon |
| Detected Language | English |
| Type | text |
| Format | application/pdf |
| Source | http://etd.lib.nsysu.edu.tw/ETD-db/ETD-search/view_etd?URN=etd-0712106-153116 |
| Rights | unrestricted, Copyright information available at source archive |
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