Taiwan has expanded the itemised deductions for social insurance premiums, thus bringing several social insurance schemes on par with the National Health Insurance Scheme.
According to media reports, The Taiwanese Parliament Yuan passed an amendment on 21 August 2026 that removes the NT$24,000 ($754) annual limit on itemised deductions for insurance premiums for labour insurance, farmers’ health insurance, National Pension Insurance, and insurance for military personnel, civil servants and public-school teachers.
Under the previous regulations, only National Health Insurance premiums were exempt from the NT$24,000 annual itemised deduction cap.
The Income Tax amendment which has come into effect retroactively from 1 January this year will help the taxpayers to apply the increased exemptions and expanded deductions when filing their income tax returns in May 2027.
The proposal for country’s annual budget for the next year as approved by the government has allocated NT$60bn for the National Health Insurance Fund and the Healthy Taiwan Cultivation Plan would receive NT$10 billion, up NT$4 billion from last year.