Fiscal Discipline Act Article 6
When a central government agency at any level proposes any tax expenditure law or regulation, it shall confirm that it does not constitute any harmful tax practice and take stock of the circumstances in which the policy instruments of the competent authorities in charge of the matters concerned are used and the results of their implementation, and carefully assess the necessity of continuing or adding tax incentives.If it is assessed that there is indeed a need to adopt tax expenditures, it shall conduct detailed study and analysis on the implementation benefits and costs of the tax expenditure law or regulation, the amount of tax revenue losses, the method for raising the required funds, the implementation period, and the performance evaluation mechanisms, to ensure the feasibility and effectiveness thereof.Operation regulations for evaluating tax expenditures shall be separately prescribed by the Executive Yuan.The governments of special municipalities and counties/cities shall prepare tax expenditure reports on local tax items and include them in the general budget for the local government.
中文原文 財政紀律法第6條
中央政府各級機關所提稅式支出法規，應確認未構成有害租稅慣例，並盤點運用業務主管政策工具之情形及執行結果，審慎評估延續或新增租稅優惠之必要性。
經評估確有採行稅式支出之必要者，應就稅式支出法規實施效益及成本、稅收損失金額、財源籌措方式、實施年限、績效評估機制詳予研析，確保其可行且具有效性。
稅式支出評估作業辦法，由行政院另定之。
直轄市、縣（市）政府應編製地方稅稅目之稅式支出報告，列入地方政府總預算。
經評估確有採行稅式支出之必要者，應就稅式支出法規實施效益及成本、稅收損失金額、財源籌措方式、實施年限、績效評估機制詳予研析，確保其可行且具有效性。
稅式支出評估作業辦法，由行政院另定之。
直轄市、縣（市）政府應編製地方稅稅目之稅式支出報告，列入地方政府總預算。