- The Ministry of Finance in Taiwan has clarified the punishment principles for businesses that make errors in the amount written on unified invoices.
- If a business fails to void and reissue an invoice according to the regulations, they will be penalized according to Article 48, Paragraph 1 of the Value-Added and Non-Value-Added Business Tax Act (VAT Act).
- If the error involves an underreported sales amount, the punishment will be determined based on certain criteria.
- If the criteria for punishment under Article 51, Paragraph 1, Subparagraph 3 of the VAT Act are met, the heavier punishment will be applied according to Article 24, Paragraph 1 of the Administrative Penalty Act.
- If the criteria for punishment under Article 52, Paragraph 1 of the VAT Act are met, the punishment will be determined based on the specific provisions of Article 52, Paragraph 1, rather than Article 48, Paragraph 1.
- The Ministry of Finance has repealed a previous directive from 1989 and provided further clarification on the application of the relevant articles of the VAT Act.
- The Ministry also provides examples to illustrate the application of the new regulations for cases involving underreported sales amounts.
Source: mof.gov.tw
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
