Where a profit-seeking enterprise or an individual which is required to declare  the amount of his/her/its basic taxable income is found to have  omitted or under-reported any basic taxable income amount, thereby resulting in any omission or under-reporting of the income basic  tax payable, the amount of tax so evaded shall be computed in  accordance with the following formula:
1. Where the ordinary income tax amount assessed by the collection authority under the provisions set forth in the Act is higher than  or equal to the amount of the income basic tax, the provisions set  out in Article 110 of the Income Tax Act shall apply instead of  applying the provisions set out in Article 15 of the Act.
2. Where the ordinary income tax amount assessed by the collection  authority under the provisions set forth in the Act is lower than the amount of the income basic tax, the amount of tax so evaded  shall be computed in accordance with the following formula:
(1) If the taxpayer is a profit-seeking enterprise:
A. Where the amount of the ordinary income tax assessed in respect  of the declared amount of the ordinary income is lower than the  amount of the basic income tax assessed in respect of the declared amount of the basic income:
The Amount of Tax Evaded ＝ Total Amount of Assessed Income Basic Tax - the Amount of the Income Basic Tax Amount Assessed in respect of the Declared Amount of the Basic Income - the Amount of Withholding Tax on the Amount of Omitted or Under-reported Amount of the Income Basic Tax.
B. Where the amount of the ordinary income tax assessed in respect  of the declared amount of the ordinary income is higher than the amount of the income basic tax assessed in respect of the declared amount of  the basic income:
The Amount of Tax Evaded ＝ Total Amount of the Assessed Income Basic  Tax - the Amount of the Ordinary Income Tax Amount Assessed in respect of the Amount of Declared Ordinary Income - the Amount of Withholding Tax on the Amount of Omitted or Under-reported Income Basic Tax. C. The amount of the income basic tax assessed in respect of the declared amount of the basic income and the total amount of the  assessed income basic tax shall be calculated in accordance with the  following formulas:
The Amount of the Income Basic Tax Assessed in respect of the Declared Amount of the Basic Income ＝ (the Amount of the Basic Income Assessed in respect of the Declared Amount of Such Income - NT$500,000) × tax  rate. The Total Amount of Assessed Income Basic Tax ＝ [(the Amount of  the Basic Income Assessed in respect of the Declared Amount of Such  Income ＋ the Amount of Omitted or Under-reported Taxable Basic Income) - NT$500,000] × tax rate.
(2) In the case of an individual taxpayer:

A. (A) Where the amount of tax credit is not falsely increased:

The Amount of Tax Evaded ＝ The Amount of Assessed Income Basic Tax － the Amount of the Income Basic Tax Assessed in respect of the Declared Amount of the Basic Income － the Amount of Tax Refund Assessed in respect of the Declared Amount of the Basic Income (no matter whether the tax has been refunded or not) － the Amount of Withholding Tax and tax credit on the Amount of Omitted or Under-Reported Income Basic Tax － the Portion of the Amount of Tax Payable and Exemptible from Fines included in the Amount of Income Basic Tax Omitted or Evaded.

(B) Where the amount of tax credit is falsely increased:

The Amount of Tax Evaded ＝ The Amount of Tax Evaded calculated under (A) ＋ the  amount of the tax evaded or over-refunded due to falsely increaseing the amount of tax credit － the  amount of tax over-paid or refundable due to omitted or under-reported Income.

B. The amount of assessed income basic tax, the amount of the income basic tax assessed in respect of the declared amount of the basic income and the portion of the amount of tax payable and exemptible from fine included in the amount of income basic tax omitted or evaded shall be calculated in accordance with the following formulas:

The Amount of Assessed Income Basic Tax ＝ [(the Amount of the Basic Income Assessed in respect of the Declared Amount of Such Income ＋ the Amount of Omitted or Under-Reported Taxable Basic Income) － NT$6,000,000] × 20%.

The Amount of the Income Basic Tax Assessed in respect of the Declared Amount of the Basic Income ＝ (the Amount of the Basic Income Assessed in respect of the Declared Amount of Such Income － NT$6,000,000) × 20%.

The Portion of the Amount of Tax Payable and Exemptible from Fine included in the Amount of Income Basic Tax Omitted or Evaded ＝ (the Amount of Assessed Income Basic Tax － the Amount of Income the Basic Tax Assessed in respect of the Declared Amount of the Basic Income) × [the Portion of the Amount of Income Taxable and Exemptible from Fine included in the Amount of Income Basic Tax Omitted or Evaded ÷ (the Amount of Assessed Basic Income － the Amount of the Basic Income Assessed in respect of the Declared Amount of Such Income)]