THE RIGHT DIRECTION: The FSC said that the extension should encourage more businesses to go public and trade on the exchange, which would boost tax revenue

Taipei Times
Date: Apr 14, 2018
By: Staff writer, with CNA

The Legislature yesterday passed an amendment to the Securities Transaction Tax Act (證券交易稅條例) that extends the duration of a previously implemented tax cut on day trading transactions until the end of 2021.

The amendment extends a one-year cut in the transaction tax for day trading from 0.003 percent to 0.0015 percent, which was implemented in April last year, by three years and eight months, with the tax cut now scheduled to end on Dec. 31, 2021.

Chinese Nationalist Party (KMT) Legislator William Tseng (曾銘宗), who previously served as chairman of the Financial Supervisory Commission (FSC), proposed the extension earlier this year.

Tseng, who in his capacity as FSC chairman, relaxed trading rules in 2014 to permit day trading, whereby traders can buy first and sell later or sell first and buy later in a single session, is a firm supporter of the practice.    [FULL  STORY]