Taipei municipal self government ordinance for industrial development conference - subsidies & incentives for taipei

Project office of Subsidies & Incentive for Taipei Industry1

Date: May, 14th , 2013


Outline

• Introduction• Requirements for Incentives Subsidies.• Requirements for R&D Subsidies.• Process & Tips


I. IntroductionCompetent Authority

Department of Economic Development, Taipei City Government

Objective To boost industrial development, encourage innovation and investment, support small and medium enterprises, and enhance industrial competitiveness.

Website www.doed.taipei.gov.twwww.industry-incentive.taipei.gov.tw


II. Incentives Subsidies

Qualification1. Small and medium Enterprise

NT$1 million investment or above in one year2. Non SME Enterprise

(Strategy Development Industry)Capital increase for more than NT 80 millions

3. New StartupsWithin one year

Company registered in Taipei City



Strategy Development Industry1.Recreation and

Tourism2.Biotechnology3. Information Services4.Telecommunications5.Cultural Creative6.Health Care

7.Sports and Leisure8.Convention and

Exhibition9.Renewable Energy10.Other industries

promoted and supported by the City Government.


II. Incentives SubsidiesItems

1. Job Training Programs4. Rental Subsidy for

providing for the assets located within the city

2. New hired employee’s payroll 5. Interest payments subsidy

3. Annual housing tax and land-value tax

6. City-owned real estate subsidy

Apply for all the items you need in one investment project !


Job Training Program(1/6)

RequirementThe courses must be started after application.Content of courses must be professional and related to the investment project.

LimitationUp to 50% of the course fee subsidy, total amount shall not exceed NT 800 thousand dollars


New Hired Employee’s Payroll (2/6)

RequirementEmployees who registered in Taipei Must be hired after the investment and October, 17th ,2012

LimitationNT 10,000/per person/per month , total amount shall not exceed NT 5 million.

DurationUp to 1 year


Annual Housing Tax and Land-value Tax (3/6)

RequirementThe real estate must be purchased or constructed for investment project related to company operation.

LimitationTax subsidy in the first two years up to 100% and 50% in the last three years, total amount shall not exceed NT 50 million.

DurationUp to 5 years


The Rental Subsidy ForProviding For The Assets

Located Within The City (4/6)Requirement

Rental contract must be signed after the investment and October, 17th ,2012

LimitationUp to 50% of the rental cost, , total amount shall not exceed NT 5 million.



Interest Payments Subsidy(5/6)

RequirementLoan must used for investment project related to company operation

LimitationUp to 2.5% of the annual interest subsidy, total amount shall not exceed NT 50 million.



City-owned Real EstateSubsidy(6/6)

RequirementDirectly used by Massive Investment project in Taipei City

LimitationRental cost is exempted during construction and up to 50% after license received.


Project office of Subsidies & Incentive for Taipei Industry


13

Items Required documentsJob training programs 1. The anticipated terms, amount of people

and coast.New hired employee’s payroll

1. Labor Insurance or employment contract2. Identity card for labors who registered in

TaipeiAnnual housing tax and land-value tax

1. Muniments2. Paid housing tax receipt3. Paid land-value tax receipt4. License of buildings used for the public (or

Construction license)Rental subsidy 1. Provide real estate registration

2. Approved lease contractInterest payments 1. Bank loan contract.

City-owned real estate 1. Using city-owned real estate document(lease contract or contract of superficies)


III. R&D Subsidies

Objective The City Government offers subsidies to investors to encourage industrial innovation and research & development.

Limitation The subsidy shall be limited to one per project, the total amount not to exceed 50% of the overall project budget, up to NT$3 million.


III. R&D SubsidiesR & D Qualification

Technology Development

1. Information Communication2. Consumers' goods and chemical industries3. Medical biotechnology4. Metal machinery5. Digital content, culture and creativity

InnovationService

1. Develop new business model / process model to renew operation service or process

2. IT model with service integration, digital usage and technology

3. Integration of beauty, practically, requirement of usage to develop scientific, specific or international service model

Duration 1. 6 months till one day before the execution of the project.

2. R&D project shall not exceed 18 months


III. R&D SubsidiesRequired Documents

1. Application form

2. R&D proposal

3. Relevant documents certifying the company’s registration, business registration, or change.

4. Profit-seeking enterprise annual income tax return form and business tax return form;(For companies established less than one year, those documents are not required.)

5. Documents certify no overdue of national taxes, local taxes and fines

6. Labor insurance coverage of the employees listed in the application


IV. Application Process

2 month for arrange meeting schedule

1 month

evaluation

1 month for final

evaluation

Applicant

Collected by Department of Economic Development

Sent out the approval notice

Review the Investment project

Approve & Appropriate for incentives

Approve & Appropriate for incentives

The Review & Evaluation Committee to determine whether to offer the incentive


IV. TipsFollowing items are considered in Committees’ review!!

1. Financial stability of the applicants2. Applicants’ future development3. Feasibility of applicants’ business or investment plan4. Creativity, character, or potential of the business plan5. Possible contributions to industrial

6. Feasibility and reasonableness of the contents and subsidy items applied

One-stop service counter!1. Provide and answer legal questions consultation services2. Accept applications for incentives or R&D subsidies3. Help investors overcome obstacles to investment


More details can be found on The Taipei City Department of Economic Development website:www.doed.taipei.gov.tw or Project Office of Subsidies & Incentives for Taipei Industry website: www.industry-incentive.taipei.gov.tw or contact to Ms. Alice Tieh /e-mail: [email protected]

Contact The Project OfficeWelcome all the projects which are innovative, potential, having high investment value for development in Taipei.
