A profit-seeking enterprise or an individual shall pay income tax in accordance with this Act, with the exception of cases coming under the following conditions: 
1. A profit-seeking enterprise organized in a form of sole proprietorship or partnership.
2. An organization or society which is established for educational, cultural, public welfare, or charitable purposes in accordance with Subparagraph 13, Paragraph 1, Article 4 of the Income Tax Act.
3. A consumer cooperative in accordance with Subparagraph 14, Paragraph 1, Article 4 of the Income Tax Act.
4. A public utility enterprise owned by governments at various levels in accordance with Subparagraph 19, Paragraph 1, Article 4 of the Income Tax Act.
5. An individual not residing in the territory of the Republic of China or a profit-seeking enterprise having no fixed place of business or business agent within the territory of the Republic of China in accordance with Paragraph 1, Article 73 of the Income Tax Act.
6. A profit-seeking enterprise filing its income tax return due to liquidation in accordance with Paragraph 2, Article 75 of the Income Tax Act; or a profit-seeking enterprise in the event of bankruptcy in accordance with Paragraph 6 of the same Article of the Income Tax Act.
7. A profit-seeking enterprise that does not apply for any investment tax credit in accordance with the laws and does not have any income within the scope of the provisions of any of the Subparagraphs of Paragraph 1 of Article 7 in its annual income tax return or current income tax return.
8. An individual who does not apply for any investment tax credits in accordance with laws and does not have any amount within the scope of the provisions of any of the Subparagraphs of Paragraph 1 of Article 12 and Paragraph 1 of Article 12-1 in his or her annual income tax return or current income tax return.
9. A profit-seeking enterprise whose basic income as calculated in accordance with Paragraph 1 of Article 7 is equal to or less than NT$ 500,000.
10. An individual whose basic income as calculated and aggregated in accordance with Paragraph 1 of Article 12 and Paragraph 1 of Article 12-1 is equal to or less than NT$ 6,000,000.
If the total increase of the consumer price index has reached a figure of 10% or higher compared to the index of the year of previous adjustment, the amount as described in Subparagraph 9 and Subparagraph 10 shall be adjusted accordingly.　The adjusted amount shall be calculated in units of NT$ 100,000; an amount less than NT$ 100,000 shall be calculated in units of NT$ 10,000 and then rounded to the nearest NT$ 100,000 using the traditional method.　The public announcement of the adjustment and consumer price index as indicated above shall be applied and interpreted mutatis mutandis to Paragraph 4, Article 5 of the Income Tax Act.