The General Education Headquarters held a press conference today. Chairman Hou Junliang (left) and legislator Fei Hongtai (right) fought for amendments to exempt labor insurance, public education insurance, and military insurance from income tax.

(Photo by reporter Lin Xiaoyun)

[Reporter Lin Xiaoyun/Taipei Report] Commercial insurance has an annual tax exemption of 24,000 yuan. The National Federation of Teachers’ Unions held a press conference today to try to exempt labor insurance, public education personnel insurance, and military insurance, that is, basic annuity premiums. , Chairman Hou Junliang emphasized that this is in line with the principle of fairness and benefits all people.

The Finance Committee of the Legislative Yuan will review the draft amendments to Articles 14 and 17 of the "Income Tax Law" tomorrow (16th). Hou Junliang calls on the ruling and opposition legislators to support the amendment proposed by legislator Fei Hongtai to end this unfair phenomenon as soon as possible and improve the country. The tax system protects the basic rights and interests of the people.

Hou Junliang emphasized that the public insurance contributions are directly deducted from the salary, which is not a free use of property, but a tax paid to the government, and should not be included in the income calculation, resulting in a situation where a sum of income is stripped of its skin.

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Legislator Fei Hongtai said that even commercial insurance can have a tax exemption of 24,000 yuan. He has communicated with the Minister of Finance twice. The tax loss caused by the tax exemption is estimated to be about 3 billion to 4 billion yuan, but the government should implement consistency. The labor and education army, which has made direct contributions to the country and paid a lot of taxes, cannot enjoy the tax-free treatment of commercial insurance. As far as he knows, no legislator opposes this amendment proposal.

Hou Junliang explained that according to the current "Income Tax Law", the "occupational annuity" belonging to the second layer of the annuity system, including labor retirement, private school retirement, and public education pension contributions, has been successively exempted from being included in income tax, while it belongs to The self-purchased commercial insurance at the third level also has an insurance premium of 24,000 yuan per person per year that can be deducted. In contrast, the "basic annuity" belonging to the first level, whether it is a national who participates in labor insurance, public education personnel insurance, or military insurance, On the contrary, it is difficult to exempt the insurance premiums paid, which is a contradiction.

The ACFTU believes that the national taxation system and legislation should keep pace with the times, and be brave enough to face and correct mistakes. For example, national occupational annuity premiums and commercial insurance premiums can be exempted from tax, which is related to the economic security of the elderly and is the basis for compulsory allocation. Annuity insurance premiums must be tax-deducted. Obviously, this must be reviewed. After successfully fighting for the tax exemption of public education pension premiums, in view of this unfair situation, the ACFTU once again asked legislator Fei Hongtai to propose an amendment to reduce the first-tier annuity insurance premiums. Exempt from income tax.

The draft adds Article 14, Category 3 Salary Income, Item 6, insurance premiums paid in accordance with the Civil and Educational Personnel Insurance Law, Labor Insurance Regulations, and Military Insurance Regulations shall not be included in the taxation of annual salary income; and in line with Article 14 Amendment, amending the enumerated deductions-related regulations on insurance premiums, and deleting the enumerated deductions for insurance premiums of labor insurance and military, public, and educational insurance.