KMT pushes for NT$20,000 universal cash payout using tax surplus
The Kuomintang legislative caucus proposed a NT$20,000 universal cash handout funded by surplus tax revenues, double the NT$10,000 amount the president earlier suggested.
At the start of the new legislative session, the Kuomintang’s caucus presented a draft Special Act to allocate a universal NT$20,000 cash payment to all residents, funded by an anticipated tax surplus of over NT$1 trillion this year. Citing that roughly 40 % of last year’s NT$528.3 billion surplus was already returned as NT$10,000 payouts, the KMT claims a similar share of this year’s surplus would finance the larger handout without additional borrowing.
The party says the distribution would stimulate domestic consumption and support Taiwanese businesses. The Democratic Progressive Party’s legislative chief argued the proposal breaches constitutional limits on budget increases and suggested the KMT is using the issue to gain electoral advantage before November’s local elections. Meanwhile, the Taiwan People’s Party urged a comprehensive strategy for surplus allocation, recommending debt reduction and targeted social programs such as elderly benefits and school lunches.
Why it matters
The proposal could reshape Taiwan's fiscal policy and influence upcoming local elections.
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