China Taiwan officially passed the chip regulation amendment draft MediaTek: Still learning the details

On November 17, the administrative department of Taiwan, China officially passed the draft amendments to Article 10-2 and Article 72 of the "Industrial Innovation Regulations". For companies with technological innovation and a key position in the international supply chain, investment in forward-looking innovative research and development and advanced process equipment are applicable New tax incentives.

In this regard, according to the Taiwan media "Economic Daily", MediaTek stated that it is still understanding the details of the relevant bills, and hopes that the details of the relevant bills will have supporting measures to meet different needs for semiconductor design and manufacturing in the future.

MediaTek pointed out that overall, judging from the current international competition situation of the global semiconductor industry, providing better incentives for Taiwan semiconductor companies willing to increase R&D investment has the opportunity to increase the international competitiveness of the industry and further enhance Taiwan's semiconductor industry. The overall industrial value will be of great help to Taiwan's semiconductor industry.

It is reported that this revision of the law is aimed at companies that are technologically innovative and occupy a key position in the international supply chain. They will provide 25% of forward-looking innovative R&D expenditures to offset the current year's profit-making enterprise income tax payable, and can purchase new machines or equipment for advanced manufacturing processes. 5% of the expenditure is offset against the payable profit-seeking enterprise income tax of the current year, and there is no upper limit for the expenditure on the machinery or equipment.