Lottery prizes of NT$5,000 and below now exempt from lottery taxes

2019/12/01 16:05 fontsize-small fontsize-default fontsize-big

Taipei, Dec. 1 (CNA) Starting Sunday, a 20 percent lottery tax will no longer be collected on prizes of NT$5,000 and below in all national lotteries, according to the Ministry of Finance (MOF).

These include the uniform invoice receipt lottery and lotteries run by Taiwan Lottery Co. and Taiwan Sports Lottery Co.

For prizes above NT$5,000, the 20 percent tax will still be collected, the MOF said.

The new threshold applies to all prizes that are claimed starting from Sunday, according to the MOF.

Holders of receipts eligible to win NT$4,000 that date back to July and August 2019, for example, will no longer be charged the 20 percent tax if they present a winning receipt by the Jan. 6, 2020 deadline.

In the uniform invoice receipt lottery, the NT$4,000 prize is the only prize affected by the new guideline, as past regulations stipulated that prizes of NT$4,000 and above were taxed, but the NT$200 and NT$1,000 prizes were exempt.

The changes could reduce tax receipts from the uniform invoice receipt lottery by around NT$130 million (US$4.23 million) per year, according to MOF data.

(By Yeh Peng-min and Chiang Yi-ching)Enditem/ls

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