Taiwan’s finance authorities said the current exemption that allows restaurant operators with monthly revenue above NT$200,000 to avoid issuing uniform invoices will be scrapped in 2029. The change is expected to affect about 70,000 businesses across the island. Once the rule is removed, those operators will move from the small-scale business category, which is taxed at 1%, to the general business category, where the rate rises to 5%.
Small eateries and takeaway shops are included
The policy applies to a broad group of food businesses often associated with everyday dining, including small eateries, noodle stalls, and boxed-meal shops. These businesses had long been allowed to pay a lower tax rate and avoid issuing uniform invoices because ingredient costs were considered harder to calculate. Under the current system, tax authorities assess the tax amount every six months, and operators do not need to issue invoices on their own.
Tax burden rises in 2029, with a transition window until end-2028
After the exemption ends, the applicable business tax rate for these restaurant operators will jump from 1% to 5%. Finance officials said the move is not a surprise tax increase, linking it instead to the spread of electronic payments and improved transaction transparency, which they said supports a fairer tax framework.
Authorities also outlined a transition measure. Businesses that adopt mobile payment before the deadline and meet the required conditions may keep the 1% preferential rate through the end of 2028. At the same time, health authorities are pushing related rules requiring food service workers not to handle money and ingredients at the same time.