On Apr. 3, TAI FSC requested banks to give assistance to borrowers.
TAI FSC requested banks to pay attention to response measures after the Apr. 3 earthquake, and provide reconstruction assistance to disaster-stricken borrowers.
A number of other bodies also made related announcements, as described below.
Assistance Measures
Reminded that people who have purchased residential earthquake insurance can notify property insurance companies/earthquake insurance funds if their homes are damaged.
Ministry of Finance said 8 public banks were urged to provide assistance measures including deferring the payment of principal and interest, and extending loan period.
It also instructed tax collection agencies to adhere to the principles of leniency, and proactively guide disaster-stricken taxpayers to apply for various tax exemptions.
TAI NA Tax, TAI KH Tax reminded re recording of damage for tax exemption purposes.
TAI CB notified of TAI TCH leniency measures re waiving fees for bounced checks.
Handling fees will be waived for check deposit accounts that have insufficient deposits on Apr. 3 and 8, and various methods are offered in case of insufficient funds.
TAI LAB advised employers to be considerate towards employees; those who arrive late or are unable to work due to traffic obstruction shall not be deemed late/absent.
Allow employees to take family care leave if they need to take care of family members.
Apr. 4, 2024 TAI FISC, TAI LAB Measures
On Apr. 4, 2024, TAI FISC waived interbank handling fees for earthquake donations.
Interbank transaction fees will be waived for people who donate in NTD to designated earthquake donation accounts, including by remittance or ATM transfer (online/mobile).
If financial institutions fail to adjust their operations in time, the handling fee will be deducted first and automatically returned to the donor before end of the next month.
TAI LAB provided persons insured under employment insurance policies with 6 months of insurance premium subsidies, automatically provided if they are in the disaster area.
Apr. 12, 2024 TAI WDA Measures
On Apr. 12, 2024, TAI WDA issued relief measures for micro entrepreneurship phoenix loan and entrepreneurial loans for unemployed middle-aged and elderly people.
Suspend payment of loan principle and interest up to 1 year; extend loan up to 1 year.
Applications will be accepted until Oct. 2, 2024.
Apr. 15, 2024 TAI CA Tax Reminder
On Apr. 15, 2024, TAI CA Tax said businesses must report losses within 30 days after the earthquake, providing detailed lists and supporting documents to the tax authority.
The reported losses can be included in the annual income tax filing for the year 2024.
Insured damages or those verified by accountant's report will undergo paper review, uninsured damages under NTD 5mn will also be reviewed without a site inspection.
Required documentation includes a fire certificate, dated photos of the disaster site, an itemized list of losses, and a report on damage to fixed assets or goods/raw materials.
Also damage report for fixed assets or goods/raw materials, including a property inventory valid until the day before the disaster and receipts for restoration costs.
Apr. 15, 2024 TAI WDA Measures
On Apr. 15, 2024, TAI WDA issued measure for entrepreneurship loan for employed.
Suspend payment of loan principle and interest up to 1 year; extend loan up to 1 year.
Applications will be accepted until Oct. 2, 2024.
Apr. 23, 2024 TAI CB, TAI TCH Fees
On Apr. 23, 2024, TAI CB shared TAI TCH measures regarding bounced checks and insufficient funds due to latest earthquake on Apr. 23, as work was stopped in Hualien.
Checks that have bounced due to insufficient funds on Apr. 23 or 24, 2024 will not be recorded or charged fees if re-deposited and cleared on the next business day.
Funds withdrawn before re-depositing will result in the bounced check being recorded.
Individuals affected by the earthquake can apply for special notation on their accounts, waiving penalties for bounced checks caused by the disaster, for up to six months.
Similar measures will be applied if earthquake continues to affect work after Apr. 23.
Apr. 23, 2024 TAI GVT Measures
On Apr. 23, 2024, TAI GVT announced measures to assist individuals and businesses.
Adjust business tax based on actual sales, operations; exempt/reduce property tax for damaged property; modify entertainment tax obligations for affected businesses.
Grant reductions or exemption for vehicle license tax based on reported damage.
Include provision of exemptions for land value tax based on hazard assessments.
Affected individuals, businesses can apply for payment extension or instalment plans without interest, with maximum extension of 1 year or instalments of up to 3 years.
May 2024 TAI Justice MOEA Order
On May 7, 2024, TAI Justice issued TAI MOEA order for the promulgation of Directions of loan and guarantee project for Hualien earthquake on Apr. 3, 2024.
Total loan amount is set at NTD 20bn, with funding provided by participating FIs.
Guarantee fund of NTD 2bn established from Hualien Sustainable Development Fund.
Eligible enterprises must provide documentation of earthquake damage issued by relevant authorities; application period is from publication date until Dec. 31, 2024.
Loan conditions include preferential interest rates determined by participating FIs, various financing types such as working capital and capital expenditure financing.
Individual loan limits will be based on actual needs and institutional regulations.
Guarantee coverage applies to short-term working capital and capital expenditure; guarantee percentage ranges from 90% to 100% for different types of financing.
Guarantee fees shall be covered by the guarantee fund and borrowers are exempt from paying; FIs are required to monitor the appropriate use of funds by borrowers.
The order is effective from May 7, 2024.
May 21, 2024 TAI FSC Measures
On May 21, 2024, TAI FSC implemented assistance measures for Hualien earthquake.
Applications accepted for debt deferment from affected residents, enterprises, with a deadline set within 1 year from the date of disaster; developing set of Q&A for FIs.
Discussing raising the upper limit of interest subsidy rate for debt deferment, consider increasing credit guarantee ratio for SMEs' revolving loans, simplifying loan application.
Financial leasing companies are urged to handle debt deferment according to prescribed deadlines; FIs are encouraged to fulfill their social responsibilities.
May 30, 2024 TAI Justice Order
On May 30, 2024, TAI Justice published TAI MOEA order for revision on paragraph 8 of Directions of loan and guarantee project for Hualien earthquake on Apr. 3, 2024.
Interest rates shall be determined favorably by lending institutions; financing types include short to medium-term revolving loans and capital expenditure loans.
Loan amounts shall be based on actual needs of the enterprise and lender regulations; financing periods and repayment methods to be decided on a case-by-case by lenders.
Collateral requirements shall follow lender procedures, with option for supplementation by credit guarantee fund; guarantees and limits outlined for different financing types.
For short to medium-term revolving loans, the guarantee percentage is set at 90%; as for capital expenditure loans, the guarantee percentage is set at a standard 100%.
Guarantee handling fees shall be charged at an annual rate of 0.375%; this is covered by the project's special fund, with no additional charges to borrowing enterprises.
Jun. 2024 TAI LAB Employment Stabilization
On Jun. 4, 2024, TAI Justice issued TAI LAB order for the promulgation of TAI LAB Directions of insurance premium subsidies for insured units in Hualien County affected by the earthquake on Apr. 3, 2024, to stabilize employment in Hualien County.
TAI BLI also published a release highlighting the promulgation of TAI LAB's directions.
Eligible entities include private businesses within the declared disaster area, employing workers in specified industries such as agriculture, accommodation, manufacturing.
Covers half of labor insurance, occupational accident insurance, employment insurance premiums from Jun. to Aug. 2024; eligible units do not need to apply separately.
TAI LAB also implemented other measures on stable employment training incentive.
Employers providing training during reduced working hours can receive incentives; they can also apply for training subsidies of up to NTD 18k to cover wage differences.
In Jun. 2024, TAI FSC proposed to increase subsidy interest limit on debt, #214783.
Jun. 13, 2024 Collateral Value
On Jun. 13, 2024, TAI FSC specifies that loans with insufficient collateral value due to damage or loss of collateral can still be processed under their original terms.
Applies to housing loans of affected residents whose collateral has been damaged or lost due to disaster as defined by relevant laws, despite collateral's diminished value.
Document dated Jun. 13, 2024, received from TAI FSC Jun. 14, summarized Jun. 17.
In Jun. 2024, TAI FSC said it held meeting regarding domestic banks, see #216931.
Jul. 2024 TAI BLI Affected Area Scope
On Jul. 19, 2024, TAI BLI extended assistance measures to newly included disaster area, in response to Executive Yuan announcement on expansion of disaster areas.
Includes parts of Taipei City, New Taipei City, Taoyuan City, effective since Apr. 3, 2024.
Aug. 2024 TAI LAB, BLI Eligible Industries
On Aug. 16, 2024, TAI BLI, TAI LAB expanded range of eligible industries in affected area, extended subsidy period; added industries of baking, food manufacturing, food wholesale, fruit and vegetable retail, food and beverage, and tobacco retail products.
Subsidies cover 50% of the insurance premiums for Aug. 2024 to Jan. 2025.
No application is required; TAI BLI will automatically apply subsidy when generating the monthly insurance payment invoices for eligible units, based on the system's data.
Oct. 2024 TAI Justice Inclusion of Taipei City
On Oct. 23, 2024, TAI Justice issued Executive Yuan notice for stipulation of Disaster areas for Hualien earthquake dated Apr. 3, 2024, added additional areas in Taipei City.
A total of 60 households across five districts in Taipei (Zhongshan, Zhongzheng, Neihu, Songshan, and Xinyi) have homes that are damaged and uninhabitable.
Dec. 2024 TAI WDA Training Incentive
On Dec. 2, 2024, TAI WDA said the 0403 Hualien stable employment training incentive program has been revised on Nov. 29, 2024; program extended to Jun. 30, 2025.
In addition, the amount of incentives for stable employment training will be increased.
The amount is subject to the total training hours, effective from Jan. 1, 2025.
Regulators
TAI BLI; TAI CA Tax; TAI CB; TAI FISC; TAI FSC; TAI GVT; TAI Justice; TAI KH Tax; TAI LAB; TAI MOEA; TAI NA Tax; TAI TCH; TAI WDA
