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Legislature amends law to extend tax rebates for home appliances

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Air conditioners are displayed on sale at a local mall in Kaohsiung in this undated photo.

A tax incentive program aimed at encouraging people to purchase energy-efficient household appliances will be extended by an additional two years, after Taiwan's Legislature approved an amendment to the law Tuesday.

The measure will now continue until June 14, 2025.

Under the program, which was first introduced in 2019, consumers can receive a tax reduction of up to NT$2,000 (US$65.39) when purchasing new refrigerators, air conditioners or dehumidifiers that meet Level 1 or 2 of the energy-saving standards specified under the Bureau of Energy's energy-efficiency rating program.

The application period for tax breaks was extended by two years in 2021, and was set to expire on June 14.

However, to continue encouraging people to purchase energy-saving electrical appliances, and aid the development of the electronics industry, the Ministry of Finance proposed a revision to the Commodity Tax Act to further extend the program in early February.

The Cabinet approved the draft in March, stating that the incentive has greatly contributed to saving energy and reducing carbon emissions, while reducing electricity bills for customers.

At present in Taiwan, there are 8.35 million refrigerators, air conditioners and dehumidifiers over 10 years old being used, accounting for 25 percent of the total home appliances in use, according to statistics from the Ministry of Economic Affairs.

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