Thursday, November 11, 2004
The Taiwan government has decided to cut the commodity tax to 6.5% in order to boost its digital-television industry. Lin Chia Lung, the director-general of Government Information Office (GIO) said the proposal was approved by Executive Yuan during a between the Ministry of Economic Affairs (MOEA) and the Ministry of Finance have agreed to revise commodity-tax regulations in an earlier meeting.
Lin said they are entitled to a 50 percent reduction in the commodity tax until December 2010. Also, the Executive Yuan has set a timetable for the development of the island's digital-television industry by demanding local TV manufacturers to build digital-signal receivers in their 29-inch products beginning 2006 and in 21-inch products beginning 2007. Taiwan's industry insiders estimated the island's market for digital-signal receivers to value at NT$50 billion to NT$60 billion a year after 2006. This will accelerate the switchover from analog to digital TV by January 2008. "In a bid to reach the target by January 2008, manufacturers must install built-in receivers in new 29-inch television sets starting January 2006," Lin said.
The incentives also encourage manufacturers to reduce retail prices of digital TV sets and set-up boxes, the government will subsidize low-income families with the purchase of set-top descramblers, he said. Set-top descramblers currently cost between NT$2,000 and NT$2,900. "The policy will extend to the 21-inch television sets starting January 2007." By the end of 2010, the government hopes to take back all analog channels and more effectively manage the resources, Lin added.
By: DocMemory
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