Act for Promotion of Private Participation in Infrastructure Projects Article 40

Where a profit-seeking enterprise subscribes for or underwrites registered shares issued by a private institution participating in a major infrastructure project upon its incorporation or expansion, and has held such registered shares for a period of four (4) years or more, such profit-seeking enterprise may credit up to twenty percent (20%) of the subscription price against the profit-seeking enterprise income tax payable for the current year. Where the amount of profit-seeking enterprise income tax payable is less than the amount creditable, the balance thereof may be credited against the profit-seeking enterprise income tax payable in the four (4) years following the current year.The total amount of investment credit against the payable profit-seeking enterprise income tax in each year as referred to in the preceding paragraph shall not exceed fifty percent (50%) of the profit-seeking enterprise income tax payable by the profit-seeking enterprise concerned for the current year, unless otherwise specified in the last year of the four-year period.The authority approving investment credit, the application time limit and procedures, the implementation period, the rates of tax credit, and the regulations for supplemental payment and the relevant matters shall be prescribed by the competent authority in conjunction with the central authorities in charge of the relevant industries.