Regulations Governing Investment Tax Credits for Tourist Industry Participation in Government-Sanctioned International Tourism Publicity and Promotion Undertakings Article 5

A tourism enterprise that spends a total of more than NT$100,000 on government-sanctioned promotion of international conferences and conference travel during a single tax year may take a tax credit of 20% for the following types of expenses against its owed profit-seeking-enterprise income tax for the year. When the amount of owed income tax for the year does not permit the full use of the credit, the credit may be used against owed income tax during the subsequent four tax years. Eligible expenses are as follows:1. Travel expenses of personnel sent overseas (this is limited to those expenses complying with the requirements of the “Regulations Governing Assessment of Profit-Seeking Enterprise Income Tax”);2. Reception expenses within one week before and after participation in an international conference for the purpose of securing the right to hold an international conference in the ROC;3. Reception expenses incurred by the on-site inspection visit of a foreign fact-finding party and intended to help secure the right to hold an international conference in the ROC;4. Media advertising expenses;5. The cost of producing publicity information intended to help secure the right to hold an international conference in the ROC, including brochures, handbooks, handbags, portfolios, videos, CD-ROMs, and other derivative expenses;6. The purchase cost of local goods or souvenirs;7. Exhibition booth rental and the cost of installation, decoration, and shipment of displayed items.