Title¡G Agricultural
Development Act
Amended Date¡G 2016-11-30
Category¡G Ministry of Agriculture¡]¹A·~³¡¡^
Chapter I General Provisions
Article 1
The Agricultural Development Act (hereinafter referred to as the
¡§Act¡¨) is enacted to ensure the sustainable developments of
agriculture, to address agricultural globalization and
liberalization, to promote reasonable utilization of farmlands, to
adjust the structures of agricultural enterprises, to stabilize the
sale of agricultural production, to advance the income and welfare
of farmers and to promote the living standards of farmers. Matters
not provided herein shall be governed by other applicable laws.
Article 2
For the purposes of implementing the Act, the term ¡§competent
authority¡¨ denotes the Council of Agriculture, the Executive Yuan at
the central government, the city government, and the county or
municipal government at county or municipality level.
Article 3
For the purposes of implementing the Act, the following terms are
defined as follows:
1. Agriculture: The utilization of natural resources and
agricultural materials and technology, to engage in leisure and
recreation, production and distribution of farming, forestry,
aquaculture and animal husbandry.
2. Agricultural products: Articles produced from agricultural
activities.
3. Farmers: Natural persons who directly engage in agricultural
activities/affairs.
4. Family farm: A farm that is engaging in agricultural affairs on
the basis of a co-habitation household unit.
5. Recreational agriculture: A kind of farming management that
applies landscapes of countryside, ecosystem and environmental
resources, integrate the production of agriculture, forestry,
fishery and animal husbandry, agricultural activities, cultures of
farm villages and life of peasant families, provide citizen
recreation and enhance the objective of experiencing agriculture and
farm villages.
6. Recreational farm: The farm that is managed for recreational
agriculture activities.
7. Farmers¡¦ organization: Farmers¡¦ associations, fishermen¡¦s
associations, agricultural cooperations and irrigation associations
that are consisted of farmers as members of those organizations in
terms of the Farmers¡¦ Association Law, the Fishermen¡¦s Association
Law, the Agricultural Cooperative Law and the General Provisions of
the Organization of Irrigation Associations.
8. Agricultural corporation: a company that engages in agricultural
production, or agricultural experimentation and research activities.
9. Agricultural research and experiment institute: Any institute,
school or agricultural juristic person that engages in agricultural
research and experiment.
10. Agricultural land: A land, that is not designated as a urban
land or as a land that is in the scope of urban agricultural zones
or reserved zones, is used for the purposes as follows in accordance
with relevant laws:
(a) Farming, forestry, aquaculture, animal husbandry and
conservation.
(b) Farmhouses, barns, storage and warehousing facilities, solar
yards, collecting sites, farm road, irrigation, drainage systems and
other agricultural use that are seen as an integral part of farming
managements (c) Warehouses, freezing/chilling facilities,
agricultural machinery centers, sites of manufacture of
silk/breeding silkworms, collecting sites and inspection stations
that are directly provided for agricultural use/purposes, and the
properties of which are owned by farmers¡¦ organizations or
cooperative farms.
11. Arable land: An agricultural or a grazing land that is
attributed to specific agricultural zones, general agricultural
zones, hillside conservation zones and forest zones as delimited in
terms of the Regional Planning Law.
12. Agricultural use: The use of agricultural lands where the
agricultural lands, in accordance with relevant laws, are actually
provided for farming, forestry, aquaculture, livestock breeding,
conservation and establishing agriculturally related facilities or
farmhouses. The use of those agricultural lands that the
circumstances such as fallowing, recuperating and suspended
practices on the lands or uncontrollable forces of the lands are
conducted in accordance with relevant laws, and those lands are not
actually provided for farming, forestry, aquaculture and livestock
breeding, are also within the scope of the definition.
13. Specialized agricultural production zone: A zone that is
established in terms of relevant laws regulating the types of
agricultural production/products, and is set up for production,
manufacture, storage and distribution.
14. Lease of agriculture land: An act in which the landlord leases
out part or the whole of his/her agricultural land to other parties
for agricultural farming purposes.
15. Commissioned farming: An act in which other parties are
commissioned to engage in only part or the whole of the farming
production procedures of self-operating family farms.
16. Cooperation group: An agricultural organization which is
voluntarily formed and managed by farmers together whose lands are
adjacent or close to each other, or manage the same type of
agricultural activities.
17. Delivery and distribution of agricultural products: Operations
of agricultural products such as collection, classification,
grading, packaging, storage, freezing/chilling, processing,
inspection, transportation and trading.
18. Extension of agriculture: An act of applying the means such as
agricultural resources, broadcasts, development of manpower and
administration services to provide farmers opportunities of
life-long education, assist in utilizing local resources and develop
the practices of local industries.
Article 4
In ensuring the effective implementation of this Act, the related
government authorities at each level shall prepare annual
administration plans and budgets listing the related projects, and
actively promote for such effective implementation.
The central government shall subsidize to fill in the need as
presented in the budgets of the preceding paragraph when it sees
necessary.
Article 5
The competent authorities shall improve information facilities and
manpower to promote information compiling of agricultural management
and conduct statistics and analysis of agricultural resources,
production and distribution. In the same way, it shall guide farmers
and farmers¡¦ organization to build up an environment of agricultural
data application and strengthen data collection.
Local government at township level shall appoint officials to be in
charge of conducting surveys and compiling statistics on
agricultural resources as well as production and distribution
information. The said information shall be submitted to the
competent authorities at the respective level for further analysis
and processing.
Article 6
Competent authorities may appoint officials to take necessary
measures in performing special duties such as protection of
agricultural resources, disaster salvage, and preventing blight,
pest and diseases of aquatic creatures.
Article 7
In strengthening the organizational functions of farmers¡¦
associations and securing farmers¡¦ rights and interests, farmers¡¦
associations of each type may jointly establish nationwide unions in
accordance with relevant laws.
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Chapter 2 Utilization and
Management of Agricultural Lands
Article 8
Competent authorities may formulate general plans for utilization of
agricultural lands and establish an adequate mode of use on the
basis of the natural environments of agricultural lands, social and
economical factors, technical conditions and farmers¡¦ vulnerability,
and in coordination with the use of any piece of agricultural land
as delimited pursuant to the land-use zoning regulations stipulated
in the Regional Planning Law and the Urban Planning Law.
The districts established pursuance to the general planning for the
use of agricultural land of the preceding paragraph shall undergo a
general review at least every five years, and necessary
modifications shall be carried out in accordance with the changes of
local developments.
Article 8-1
Agricultural lands may be exempted from acquiring construction
licenses for setting up temporary and non-fix foundation structures
made of bamboos wood, straw, plastic materials, angle iron, steel
wire fabrics or other materials for the purposes of agricultural
production. City or county/ municipality governments may take into
consideration the needs of local agricultural practices and enact
regulations reviewing the setting-up of temporary and non-fixed
foundation structures and structures in relation to agriculture
production on agricultural lands.
Prior application for the uses of fixed foundation agricultural
structures is required for constructing such structures on
agricultural lands, and then application for construction licenses
for such construction is required in terms of relevant laws. In the
event that the surface area of the said structure is not more than
45 square meters and the structure has only one floor, exemption of
application for the license may be granted. Agricultural lands may
be exempted from acquiring construction licenses if prior to the
implementation of this revised Act of January 13, 2003, the fixed
foundation agriculture structures have already been built on
agricultural lands, the surface area of each structure is not more
than 250 square meters and the structures are safe for uses.
The provisions regulating the uses of the agricultural structures as
stated in the preceding paragraph, the types, surface areas and
heights of constructing the said structures, application procedures
and other items to be complied with, are to be formulated by the
central competent authority in concert with the concerned
authorities.
The competent authorities formulate the standard design of the
agricultural structures that are mostly demanded by farmers and can
enhance the values added to farming practices. Those persons who
adopt such design may be exempted from the design, supervision and
construction of architects or construction from construction firms.
Article 9
In maintaining the needs of agricultural development, the central
competent authority shall coordinate overall development principles
of territory plan, regulate the total amount of agricultural lands
in demand and the quantity of agricultural lands of change, and
comment and criticize such practices regularly.
Article 9-1
In order to promote the development of rural areas and take into
account the effective utilization of agricultural land resources and
maintenance of production environment, the competent authority at
the city/county level in concert with the concerned authorities may,
based on the plans of local agricultural land resources and the
needs of the developments of rural areas as a whole as well as the
approval of the agricultural landowners, plan and exploit the
agricultural lands through re-division of lands land re-division or
levy of subdivision and section.
The central authorities shall hold a consultation conference to
enact about the planning, coordination, practice and other related
aspects of foregoing agricultural land utilization and exploitation.
Article 10
The delimitation or change of agricultural lands to non-agricultural
purposes shall not affect the integrity of production environments
and shall be subject to the prior approval of the competent
authorities. Requirements and procedures for the aforesaid change
shall be subject to the governance of applicable laws which are yet
to be drafted.
Matters with respect to the delimitation or change of agricultural
lands to non-agricultural purposes prior to the taking effect of the
applicable laws as stated in the preceding paragraph shall be
governed by existing laws and regulations.
Article 11
Deleted.
Article 12
The change of land use as stated in the first paragraph of Article
10 shall be subject to the payment of a feedback fund based on its
business nature of the land in use. The said fund shall then be
submitted to the Agriculture Development Fund established by the
central competent authority pursuant to Article 54 for the purposes
of agricultural development and farmers¡¦ welfare.
The payment and use of the monetary or in-kind donation of feedback
nature or contribution for the change of land use as already
stipulated in the respective laws of the business on the said land
shall be proceeded pursuant to the governing law. In cases where the
land is categorized as agricultural land, the exemption of payment
is only applicable to those persons who had already made the payment
prior to the taking effect of this revised Act of January 4, 2000;
and in all other cases, authorities concerned shall allocate half of
the payment collected, both monetary and in-kind, for the purpose as
stipulated in the preceding paragraph.
The regulations of the payment, appropriation, allocation and the
standard of payment of the feedback funds, monetary and in-kind
fund, as stated in the first two paragraphs, shall be formulated by
the central competent authority in concert with other authorities
concerned.
The change of land use pursuant to the first paragraph of Article 10
may be exempted from the payment of feedback fund if any of the
following is satisfied:
1. Government projects of public construction or welfare facilities.
2. Government projects of development of rural areas or facilities
of farmers¡¦ welfare.
3. Infrastructure or facilities in areas notified by the Ministry of
Economic Affairs as land subsidence, or in designated remote areas
or on offshore islands by the central competent authority.
Article 13
In promoting farmland consolidation, the competent authority of land
administration shall formulate overall planning in concert with the
agricultural and water conservancy authorities and shall coordinate
in implementing the said plan.
Article 14
Deleted.
Article 15
The competent authorities shall formulate overall planning for
watershed management in concert with other authorities concerned. It
shall also coordinate and promote the construction and the
maintenance of such agricultural projects and public facilities,
such as soil and water conservation, watershed protection and flood
control, windbreaks, agricultural lands improvement, fishing ports,
agricultural access roads, agricultural water supply, irrigation and
drainage systems.
Article 16
An arable land shall not be divided if each of the divided area is
less than point two five hectares. Exceptions are as follows.
1. In the merging with a piece of adjacent arable land through
purchase, division for the purpose of merger is allowed. Two or more
than two pieces of adjacent lands of the same ownership are allowed
for division or merger if the total number of lands under
registration after the act remains the same.
2. A land which is partially changed to non-arable land pursuant to
governing laws and the unchanged part with co-ownership but
separated management may be divided.
3. An arable land which is inherited by legal successors after the
enactment of this Act of January 4, 2000 may be divided as single
ownership
4. A Co-owned arable land before the enactment of this Act of
January 4, 2000 may be divided as single ownership.
5. The land governed by the ¡§37.5% Arable Land Rental Reduction Act¡¨
may be divided and owned separately by the leaser and the lessee,
provided both parties agree to terminate the lease agreement through
land division.
6. Non-agricultural land consolidation region are to be changed to
serve as farm irrigation/drainage waterways.
7. Other lands that are deemed necessary for the implementation of
land or agricultural policies, or for the purposes of national
development, and such necessity is approved by the central competent
authority, may then be divided.
An owner of a co-owned land, who undertakes to acquire the title of
single ownership of the land after the division of the land as
stated in Items 3 and 4 of the preceding paragraph, shall obtain the
other co-owner(s)¡¦ agreement(s) or a court order first. The number
of the sub-divided lands may not exceed the total number of the
co-owners.
Article 17
Agricultural lands which were acquired with self-owned capital or
without any capitals and registered under the name of a natural
person by existing registered temples, churches, churches which have
been established in accordance with relevant laws, religion funds or
farmers¡¦ organizations prior to the enactment of this revised Act,
may re-register the ownership under the name of the temple, the
church or the church which have been established in accordance with
relevant laws, the religion fund or the farmers¡¦ organization within
one year of the date of implementation of this revised Act of
January 13, 2003.
Article 18
Farmers, who acquire agricultural lands after the enactment of this
revised Act of January 4, 2000 and do not possess a farmhouse for
their own use, may apply for the construction of individual
farmhouses or concentrated townhouses on their own agricultural land
with the approval of the competent authorities at the city or
county/municipality, provided that the construction does not affect
agricultural production environment and the development of farm
villages.
The agricultural land of the preceding paragraph shall be ensured
for agricultural use; farmhouses which are built on self-owned
agricultural land may be transferred only after five years of the
construction. Exceptions are such that the transfer is due to
inheritance or courthouse auctions.
Farmers, who had acquired agricultural lands prior to the enactment
of this revised Act of January 4, 2000 and do not possess a
farmhouse for their own use, may apply for the construction of a
farmhouse in accordance with related construction laws and
regulations of land use. This is also applicable to farmers who had
shared ownership of arable lands prior to the enactment of this
revised Act of January 4, 2000, have divided the land as single
ownership after the enactment of this revised Act of January 4, 2000
and do not possess a farmhouse for their own use.
The builder of the farmhouse described in the first and the
preceding paragraph shall be the owner of the land where the
farmhouse is situated. The farmhouse as well as the land where it is
situated shall be jointly transferred or jointly mortgaged.
Agricultural lands having already been applied for the construction
of a farmhouse shall not be permitted for re- application of
construction.
The regulations with respect to farmer¡¦s eligibility, maximum floor
area, land coverage of the farmhouse, capacity rate, maximum
foundation area and height, permission conditions, application
procedures, construction methods, withdrawal or annulment of
permission and other related regulations shall be formulated by the
Ministry of Interior in concert with the central competent
authority.
The competent authorities shall provide rewards of encouragement for
building farmhouses as an integral part of concentrated townhouses
and shall provide necessary assistance. The measures of the said
rewards and assistance shall be drafted by the central competent
authority.
Article 19
In ensuring the maintenance of the agricultural production
environment and avoiding the ground water and the soil pollution
from adversely impacting on the health of the nationals,
agricultural land which is used as waste treatment field/plant or
polluting factory shall be subject to environmental impact
assessment pursuant to the Environmental Impact Assessment Law.
The competent environment authorities shall provide with overall
inspection and establish a data bank containing census survey
information of all waste treatment fields/plants and polluting
factories situated on agricultural lands. The
establishers/planners/executors of these waste treatment
fields/plants and factories shall install a ground water monitoring
system around the waste treatment fields/plants and polluting
factories, and regularly inspecting the ground water and the soil
for any pollution. In the event of pollution, the owners shall be
restrained from land use. They shall subsequently compensate, remove
the pollutants, rehabilitate and rebuild the environment pursuant to
laws and regulations with respect to cleaning polluted soil and
ground water.
Article 20
Arable land lease agreements which were/are signed after the
implementation of this revised Act of January 4, 2000 shall be
governed by this Act; and the 37.5% Arable Land Rental Reduction Act
shall not be applicable. Matters not provided in this Act shall be
governed by the Land Law, the Civil Law, or other applicable laws.
Lessor and lessee, who had signed the lease contract in accordance
with the 37.5% Arable Land Rental Reduction Act, or the Land Law and
other applicable laws or regulations prior to the implementation of
this revised Act of January 4, 2000, shall be governed by the
respective law with respect to the rights and obligations, renewal,
amendment and termination of the agreement, except when both parties
have agreed otherwise.
The written commission agreements which were concluded before the
implementation of this revised Act of January 4, 2000 shall not be
subject to the regulations of the 37.5% Arable Land Rental Reduction
Act. The rights and obligations shall be subject to the commission
agreement throughout the duration of the contract; matters not
regulated in the agreement shall be governed by this Act.
Article 21
The duration, rent and the method of rental payment of arable land
lease agreements, which were/are concluded after the implementation
of this revised Act of January 4, 2000, are mutually agreed upon by
the lessor and the lessee, they shall not be subject to the
limitation clause as stipulated in Articles 110 and 112 of the Land
Law. Lease period exceeding one year without concluding any written
agreement shall not be subject to Article 422 of the Civil Law.
The lease relationship of the aforesaid arable land lease agreement
with the prescribed period of lease shall be extinguished upon the
expiration of the prescribed period, and shall not subject to
Article 451 of the Civil Law and Articles 109 and 114 of the Land
Law. In the event where the parties concerned agree to terminate the
lease agreement before the expiry date of the prescribed period, the
lease relationship shall be extinguished at the time of termination.
The other party shall be noticed of the said termination six months
prior to the termination; in cases where the prescribed period of
the agreement is shorter than six months, the other party shall be
noticed 15 days prior to the date of the termination.
Where there is no provision with regard to the prescribed period in
the arable land lease agreement, both parties to the agreement may
terminate the agreement at any time, provided that a six-month prior
notice is made to the other party.
Article 22
The termination of lease relationship of arable land lease contracts
as concluded after the implementation of this revised Act of January
4, 2000, upon the lessor¡¦s retrieval of arable land, is not subject
to the regulations with respect to compensation paid by the lessor
to the lessee in Articles 11, 63 and 77 of the Land Right Equity
Act, Article 29 of the Farmland Consolidation Act and Article 27 of
the Industrial Upgrading Promotion Act.
Article 22-1
In promoting circulation of agricultural lands and effective
utilization, the competent authorities may guide farmers¡¦
organizations in conducting agency practices such as sale and
purchase, lease and commission of agricultural lands, and encourage
them with rewards.
Chapter 3 Agricultural Production
Article 23
The central competent authority shall formulate national
agricultural production and distribution policies and plans, and
supervise the implementation of the said polices and plans.
The formulation of the policies and plans as stated in the preceding
paragraph shall take into consideration agricultural production,
life and the ecosystem and assist in developing a sustainable system
of agriculture.
Article 24
The central competent authority may, in concert with other
authorities concerned, designate specific agricultural products or
processed products to assist the proprietors with the establishment
of respective industrial development fund where it is deemed
necessary.
The management and utilization of the fund as stated in the
preceding paragraph shall be guided and supervised by the central
competent authority in concert with other authorities concerned.
Article 25
The competent authorities shall, in concert with various authorities
concerned, plan agricultural production zones on the basis of the
distribution of agricultural resources, the production environment
and the needs of development; and depending on the market demand,
provide guidance in the establishment of specialized agricultural
zones of an adequate scale to planning and implementing the planned
production, manufacture, storage and distribution. Government-
designated public construction projects that are executed in the
said special agricultural zones are eligible for subsidization or
the governmental assistance in loan applications.
Article 25-1
In order to develop agricultural technology, the competent authority
may provide guidance in establishing agricultural technology zones;
the establishment, management and guidance of the zones shall be
regulated by a specific law.
Article 26
Farmers, who voluntarily and jointly undertake agricultural
practices in compliance with the specific requirements as stipulated
by the competent authorities, may form cooperation groups for
management. On the basis of the operation status, the competent
authority may provide guidance, rewards and subsidization.
The provisions regulating requirements for establishing a
cooperation group, application procedures, appraisal methods,
guidance, rewards, subsidization and other items with are to be
enacted by the central competent authority.
Article 27
The central competent authority shall promulgate respectively
standard specifications of agricultural materials of the seed and
seedling of plants, breeding animals, fertilizers, feeds, pesticides
and veterinary drugs, as well as criteria for the factories/plants
establishment, in order to facilitate the inspection of the said
materials accordingly.
In order to elevate the quality level of agricultural products and
processed products and maintain the rights and interests of
consumers, the central competent authority shall carry out the
certification or verification for the logo authentication system of
the related products.
Article 28
The central competent authority shall formulate plans for
agricultural mechanization development, guide farmers or farmers¡¦
organizations in purchasing and utilizing the agricultural machinery
and further assist in loan applications or subsidization for the
aforementioned purposes.
Article 29
The price of electricity, gasoline and water for powering
agricultural operation shall not be higher than that of those for
general industrial purposes.
Electricity fee for powering agricultural operation are not
calculated in terms of progressive increment, and during the
suspension period of power use, basic electricity fee is to be
exempted.
The scope and standard of the use of electricity, gasoline and water
for powering agricultural operation shall be formulated by the
Executive Yuan.
Article 30
The competent authority shall encourage with rewards the expansion
of operation scale of family farms, and shall appropriate funds for
subsidization or assist in loan applications.
(c) The expansion of operation scale as stated in the preceding
paragraph, operation scale may be expanded through cooperation
groups, leasing from arable lands, appointment or other modes of
farming.
Article 31
The penalty for illegal use of arable land shall be under the
regulations of Regional Planning Law. The registration of
transferring ownership of arable land shall be under the regulations
of Land Law or Civil Law.
Article 32
City or county/municipality governments shall strengthen the
investigation and prohibition against violations of agricultural
land-use regulations, and shall cooperate with the investigation
unit, which is established for this purpose in accordance with
related land regulations.
In order to strengthen the investigation of violations of arable
land use, the central competent authority may provide rewards of
encouragement for impeachment of such regulations.
Article 33
Private juristic persons are prohibited from taking arable lands,
with the exception of farmers¡¦ organizations, agricultural
corporations or agricultural experimentation and research institutes
taking lands pursuant to Article 34 of this Act with permission.
Article 34
Farmers¡¦ organizations, agricultural corporations, or agricultural
experimentation and research institutes in compliance with
technology-intensive or capital-intensive standards and
categorization, after receiving permission through application, may
take arable lands. Technology-intensive or capital-intensive
standards and categorization shall be formulated and promulgated by
the central competent authority.
Farmers¡¦ organizations, agricultural corporations, or agricultural
experimentation and research institutes applying for taking arable
lands shall submit operation and exploitation plans as well as other
required documentation to the competent authorities at city or
county/ municipality of the land location; the said government will
then submit the application to the central competent authority for
permission and the issuance of the certification of the approval.
The applicant then takes the certification to register the transfer
of the land ownership.
The central competent authority shall base its approval on factors
such as the state of agricultural development at the land location,
the categorization of the application, as well as the operation and
exploitation plans, and it shall limit the site location, the size,
and the usage of the arable land, and the highest amount of mortgage
on the land.
Regulations governing the said transfer permission application of
the arable land taken by farmers¡¦ organizations, agricultural
corporations, or agricultural experimentation and research
institutes shall be formulated by the central competent authority.
Article 35
Farmers¡¦ organizations, agricultural corporations, or agricultural
experimentation and research institutes taking arable lands pursuant
to the preceding article are prohibited from changing operation and
exploitation plans at will or laying the land idle, unless the
aforesaid acts are approved by the central competent authority.
Article 36
Farmers¡¦ organizations, agricultural corporations, or agricultural
research institutes taking arable lands by permission pursuant to
Article 34 are prohibited from (changing the use of the land) using
the land for other purposes. An exception can be adopted for
operating projects, which apply for changing land usage based on
corresponding regulations.
Article 37
Agricultural lands in use for agricultural purposes may apply for
exemption of the land value incremental tax when they are
transferred to natural persons.
The arable lands of agricultural use that are transferred to
farmers¡¦ organizations, agricultural corporation and agricultural
experimentation and research institutes in accordance with Articles
33 and 34, and are accorded with the needs of agricultural
development, specific scales and other conditions, may apply for
exemption of the land value incremental tax upon the approval of the
competent authorities at City or county/municipality level.
The said land taker exempted from the land value incremental tax as
stated in the last two paragraphs, shall pay the land value
incremental tax at next transfer, if within the period of his/her
land ownership the land is found not used for agricultural purposes
by the authorities concerned and not restored for agricultural uses
within the period of limitation set by the authorities concerned, or
if the land is restored for agricultural use within the official
period of limitation but is found used for other purposes again
later.
The said land taker not using the land for agricultural purposes
shall combine the land given to or taken from his/her spouse for the
imposition of land value incremental tax.
Article 38
The agricultural land in use for agricultural purposes thereon when
taken by inheritors or legatees, the values of the said land and
crops shall be exempted from estate duty and exempted from farmland
tax for ten years from the year of taking of the estate. The
inheritors or legatees shall re-pay the tax which was exempted
before if within five years from the date of inheritance or
acceptance they do not continue engaging the land for agricultural
purposes, and do not restore agricultural uses of the land within
the period of limitation as stipulated by the authorities concerned,
or have restored the land for agricultural use within the period of
limitation as stipulated by the authorities concerned but are found
later used for other purposes again. It is however inapplicable upon
the death of the inheritors or legatees, or the expropriation or
changing of the land in accordance with the laws.
In the event that the agricultural land in use for agricultural
purposes thereon are given to the inheritors as gifts pursuant to
Article 1138 of the Civil Law, the values of the said land and crops
shall be exempted from bestow tax and exempted from farmland tax for
ten years from the year of acceptance of the estate. The donees
shall re-pay the tax which was exempted before if within five years
from the date of acceptance they do not continue engaging the land
for agricultural purposes and do not restore agricultural uses of
the land within the period of limitation as stipulated by the
authorities concerned, or have restored the land for agricultural
use within the period of limitation as stipulated by the authorities
concerned but are found later used for other purposes again. Such a
rule is inapplicable upon the death of the donees, or the
expropriation or changing of the land in accordance with the laws.
In the event pursuant to the first paragraph where there are more
than one inheritor who all agree to have one inheritor to inherit
the land and compensate other inheritors in cash, the competent
authorities shall assist with the application of a 20-year land
loan.
Article 38-1
The building site in the urban area, no matter when it has been
converted from agricultural land by law, can be applied for
exemption of the land value incremental tax or estate duty or bestow
tax according to the Article 37, paragraph 1 and Article 38,
paragraph 1 or 2. The applicants applying for the tax exemption as
mentioned above have to submit 2 documents which are issued by urban
planning and agricultural departments separately to tax revenue. The
document, which is issued by the urban planning department, has to
recognize fitting for one of the condition mentioned below, and the
other one, which is issued by agricultural department, has to
certificate of being in agricultural use.
1.Due to the detail plan has not been completed the building site
can not be used as it has been planed.
2.Although the detail plan has been completed, concerning
stipulations limit its development by ways of land consolidation or
zoned expropriation, the building site still can not be used as it
has been planed before the plans of land consolidation or zoned
expropriation are put into practice.
Agricultural land which has been converted into not agricultural use
before August 3rd 1983 can be applied for exemption of land value
incremental tax according to the preceding paragraph under the
situation of local government¡¦s agreement.
Article 39
The applicants applying for land value incremental tax exemption, or
the exemptions of estate duty, bestow tax and farmland tax pursuant
to the preceding two articles, shall submit the certificate of
agricultural use of agricultural land to the tax revenues.
The regulations with respect to the acknowledgement standard of
taking- agricultural land for agricultural use, the certificate of
agriculture use of agricultural land as stated in the preceding
paragraph, issuance procedures and other requirements shall be
formulated by the central competent authority in concert with other
authorities concerned.
Article 40
Agricultural lands engaged in agricultural purposes with the
approval of the land value incremental tax application or with the
exemptions of estate duty, bestow tax, or farmland tax shall be
subject to regular or random inspections and shall be monitored and
supervised by the competent authorities at the city or
county/municipality in concert with other authorities concerned. In
the event of non-compliance of agricultural use pursuant to Articles
37 and 38, the violator shall be subject to the governance of the
first paragraph of Article 69 in addition to re-pay the tax, which
was exempted before.
Article 41
In the event of family farms purchasing or exchanging arable lands
at the same or an adjacent site to expand the operation area or to
facilitate agricultural operations, provided that the total area of
the land of the acquired plus the surface area of the original
arable land is less than five hectares, the additional part of land
shall be exempted from farmland tax for five years. With respect to
the funds required for the purchase of the land or for necessary
compensation in cash, the competent authority shall assist in
applying for a 20-year loan.
Article 42
Agricultural school or college graduates, who are in need of
capitals for purchasing arable lands and directly engaging in
agricultural production, shall be assisted by the competent
authorities for applying for a 20-year loan.
Article 43
The central competent authority shall, in concert with other
authorities concerned, formulates provisions regulating the
eligibility of applicants, the period, interests, the amount and
other related matters of the said loan as stated in the first
paragraph of Article 30, the third paragraph of Article 38, Article
41 and the preceding provision.
Chapter 4 Agricultural Transportation and Distribution, Prices
and Trade
Article 44
In maintaining the balance between agricultural production and
distribution as well as reasonable prices of agricultural products,
the competent authorities may organize domestic and international
promotion activities or designate agricultural products to be
produced and purchased with guaranteed prices by contract as
concluded between parties of supply and demand.
Article 45
In response to prices fluctuations of domestic and international
agricultural products and in order to stabilize the production and
distribution of agricultural products, the government shall
designate important agricultural products for the establishment of a
stabilization fund either by the government or private sectors. The
rules and regulations for the establishment, custody and utilization
of the said fund shall be formulated by the central competent
authority in concert with other authorities concerned.
Article 46
Joint supply and distribution, transportation and distribution,
direct supply for factories or exports by farmers or farmers'
organizations shall be deemed the first transaction on the wholesale
market and shall be entitled to the exemption of stamp duties and
business taxes pursuant to the applicable tax laws.
Article 47
Farmers shall be exempted from stamp duties and business taxes for
selling self-produced agricultural products.
Article 47-1
Farms and agricultural cooperatives legally registered with the
competent authority by farmers shall be exempted from profit-seeking
enterprise income tax for selling self-produced primary agricultural
products.
The primary agricultural products of the preceding paragraph shall
be prescribed by the central competent authority in concert with the
Ministry of Finance.
The regulations with respect to qualifications, conditions,
contents, procedures, documents to be presented, and other related
matters of the registrations of farms and agricultural cooperatives
in the first paragraph shall be prescribed by the central competent
authority.
The implementation period of profit-seeking enterprise income tax
exemption in the first paragraph shall be within 5 years from the
amendment on November 11, 2016.
The Executive Yuan may, in 6 months before the exemption period
expired, decide to extend or terminate the exemption period based on
actual situation.
Article 48
The central competent authority may, in concert with other
authorities concerned, implement planned production and distribution
of agricultural products or processed agricultural products of all
kinds respectively, and shall coordinate the conflicting interests
of each of agricultural industries of production, manufacturing,
transportation and distribution.
Article 49
The competent authorities may, or upon the application of farmers'
organizations or agricultural product processing industries, divide
raw material supply zones into separate areas for raw materials
purchase by contract. The said divided raw material supply zones may
be changed by the competent authorities in accordance with the
actual demand and supply.
Undivided raw material supply zones shall be subject to the
allocation of raw materials by the competent authorities in concert
with other authorities concerned.
Article 50
The competent authorities shall, in concert with other authorities
concerned, assist farmers or farmers¡¦ organizations in implementing
the alignment of production, manufacture, storage and distribution,
and shall encourage the establishment of factories on the industrial
land of farming villages or within industrial zones to facilitate
farmers¡¦ employment and raw material supply.
Article 51
With respect to export of agricultural products and processed
agricultural products, a convention can be covenanted to maintain
methodical order of export.
The central competent authority shall designate agricultural
products for farmers¡¦ organizations or state-owned organizations to
take charge of export or unified supply of the said products.
In respect of any raw and packaging materials required for
processing agricultural products for export, and for materials
imported to pack previously stated products, the tariff duties and
commodity taxes that must be levied may be refunded by applying to
the regulations of ¡§the Customs Law and Statute Commodity Tax Act¡¨
after the end items are exported.
Article 52
The competent authorities of trade shall seek the central competent
authority¡¦s consent prior to granting import approval to
agricultural products subject to import restrictions.
The competent authority of finance, in concert with the central
competent authority first, shall then promulgate the type, quantity,
allocation methods and allocation periods of quota, before
implementing tariffs and quota on agricultural products.
In the event that the importation of agricultural products or
processed agricultural products has caused or is likely to cause
damage to domestic agriculture, the central competent authority
shall meet with related central authorities concerned to formulate
necessary measures, to establish a relief fund in the amount of
NT$100 billion, and to adjust industrial structures or adopt
safeguard measures, or to provide subsidization or relief measures
for those deemed damaged or likely to be damaged sectors. The said
relief measures for agricultural products damaged from importation
as well as regulations with respect to the revenues and
expenditures, the custody and the utilization of the said relief
fund for agricultural products damaged from importation shall be
formulated by the Executive Yuan.
The source of the aforementioned fund as stated in the last
paragraph may, in addition to the government allocated budget to
make up the deficiency in three years, include the surplus from
selling agricultural products or processed agricultural products
that are subject to restricted-importation measures and tariff or
quota as approved by the government, as well as the income from
selling the right to import of the said.
Article 53
In maintaining the order of production and distribution and ensuring
fair trade of imported agricultural products, the central competent
authority may, in concert with the competent authorities of finance
and trade, adopt tariff-quota measures, safeguard and other special
measures in accordance with applicable regime; or shall designate an
agency responsible for importation matters, if necessary.
In the event that the exporting country of agricultural trade
designates an agency handling export matters of a certain
agricultural product to Taiwan, the central competent authority may,
in concert with the competent authorities of trade, designate or
establish a counterpart agency to handle the importation of the
agricultural products of the exporting country.
Chapter 5 Farmers Welfare and Farming Village Development
Article 54
In meeting the needs for future agricultural development, the
government shall establish an agricultural development fund of one
hundred and fifty billion New Taiwan Dollars to promote farmers¡¦
welfare and agricultural development. The sources of the said
agricultural development fund, in addition to donations, shall be
secured to fulfill the set amount through government budget planning
in 12 years.
The said donations, with the certification from the competent
authorities, may be exempted from income tax or be listed as
expenditure of the concurrent year in pursuance with the provisions
of the Tax Law.
The agricultural development fund established by the central
competent authority shall be used for the purposes of improving
farmers¡¦ welfare or agricultural development. The regulations for
the revenue and expenditure, the custody and the utilization of the
said fund shall be formulated by the Executive Yuan.
Article 55
In ensuring the sustainability of agricultural production resources
and to reduce the impact of imported agricultural products on
domestic agriculture, the competent authorities of agriculture shall
encourage with rewards environment-friendly activities such as
setting aside agriculture or reforesting on agricultural lands.
Article 56
The central government shall establish an Agriculture Finance
Planning Commission to plan for and review agricultural financial
policies and the agricultural financial system. The regulations for
the establishment of the said commission shall be formulated by the
Executive Yuan.
The central competent authority shall, in accordance with the said
policies of the preceding paragraph, formulate agricultural loan
program, in respect to the raising and allocation of funds for
agricultural loans, and shall establish a guidance system for
financing loan.
Article 57
In order to assist farmers in obtaining capitals required to
practice farming, the government shall establish an agricultural
credit guarantee system and provide rewards or subsidy.
Article 58
The government shall initiate an agricultural insurance program to
secure farmers' income, to stabilize rural communities and to make
full use of agricultural resources.
Before the agricultural insurance program is enacted into law, the
central competent authority shall establish regulations in
accordance with which agricultural insurance program by districts,
categorization and stage may be implemented on a trial basis. All
farmers within the same district and business operation line may
participate in the program. Farmers' organizations may be
commissioned to handle the said insurance program.
The commissioned farmers¡¦ organization handling the insurance
program shall receive rewards and have the assistance or support
from the government.
Article 59
In response to the impact of agricultural globalization and
liberalization, senior farmers shall be encouraged to retire from
farming while young professional farmers undertake to participate in
agricultural production system so as to enhance agricultural
competitiveness and accelerate agricultural restructuring.
Article 60
In the event that agricultural production suffers damages from
natural disasters, the government shall provide cash relief,
subsidization or low-rate loans and reduce/exempt farmland tax
pursuant to applicable laws to assist farmers in resuming production
in a quick manner.
The regulations for the said cash relief, subsidization or low-rate
loans shall be formulated by the central competent authority.
The fund needed for the cash relief, subsidization or low-rate loans
of the first paragraph shall be made available from a natural
disaster mitigation fund for agriculture established by the central
competent authority. The regulations for the revenues and
expenditures, the custody and the utilization of the said fund shall
be formulated by the Executive Yuan.
Article 61
In order to improve the living environment of farming villages, the
government needs to appropriate funds to strengthen the
infrastructure of farming villages, to promote the renovation of
rural communities, as well as the medical care system, and
recreational and cultural facilities of farming villages so as to
enhance the living environment of modern farming villages.
The renovation of rural communities may be carried out through land
zone re-division, or land section expropriation to increase modern
public facilities in farming villages and to expand the scope of
rural communities.
Article 62
In preserving agricultural production and the living environment of
farming villages, the competent authorities shall undertake
necessary measures to prevent both the pollution of agricultural
production to the environment and the pollution of non-agricultural
sectors to agricultural production, farm village environment, water
resources, land and air.
Article 63
The authorities superintended in the level of city or
county/municipality, in accordance with regional agricultural
features, landscape resources, ecosystem and cultural heritage,
shall schematize agricultural regions for recreational purposes that
should be submitted to central authorities for sanction.
The establishment of recreational farms shall be examined by the
competent authorities at city or county/municipality level. After
this examination, the application should be submitted for the
reception of approval by the central authority.
Central government is in charge of enacting regulations about
recreational agricultural areas stated in the first paragraph such
as the defining conditions, procedures, assisting construction,
minimum area, granting conditions, permit issuing and abolishment,
land usage, managing constructing behavior and other items should be
complied with.
Chapter 6 Agricultural Research and Extension
Article 64
In order to upgrade agricultural science and technology level and
promote the transformation of agricultural industries, the competent
authorities shall supervise and request their respective affiliated
agricultural research and experiment institutes to strengthen the
cooperation between research and experiment sectors and agricultural
industry sectors and to promote the technology development in
agricultural industries.
In completing the research effort of agricultural technology for the
development of agricultural industries, the central competent
authority shall strengthen the management and application of
intellectual property rights on agricultural technology and shall
guide in establishing centers of innovation and education.
The guidance of establishing the incubation centers as stated in the
preceding paragraph would be formulated, if necessary, by the
central competent authority.
Article 65
To meet the needs of agricultural development, the central
authorities shall, in concert with the central authorities of
education and technology, formulate agricultural research, education
and extension plans with respect to agricultural experiment,
research, education, training and extension, for the purpose of
ensuring and increase agricultural competitiveness.
Budgets shall be prepared by the central authority for awarding
scholarship to youngsters who wish to engage in agricultural
business for helping them study in agricultural schools and
colleges; and agricultural training shall be strengthened in order
to enhance the standards of agricultural science and technology and
agricultural management.
Public extension of agriculture as conducted by the competent
authorities shall be listed as the expenditure of public extension
in the budget.
Article 66
In expanding the scale of farm operation and encouraging farmers to
change their career paths, the competent authorities shall, in
concert with the competent vocational training authorities, provide
vocational training for farmers who resign from farming, and assist
them in seeking a new career.
Article 67
In strengthening agricultural extension and perfecting the functions
of all designated agencies, the competent authorities shall appoint
specialized units or staffs of agricultural extensions to organize
agricultural extension activities, and may, if necessary, commission
agricultural schools and colleges, farmers' organizations,
agricultural corporation, agricultural organizations, and
corporation or organizations concerned and communities to organize
the same and to provide necessary guidance, supervision and
appraisal.
Regulations for the agricultural extension activities shall be
formulated by the central authority.
Article 67-1
Persons who provide the services of agricultural extensions may
collect fees.
Article 67-2
In strengthening the extension and utilization of the efforts from
agricultural experimentation and research and establishing life-long
education systems for farmers, the competent authorities shall build
up an integral system of agricultural extensions and consolidate the
developments such as the training of farming practices, improvement
of living, guidance for youngsters, transmission of information and
development of farm villages.
The central authority should appoint a professional unit, to plan
and engage in the developments such as agricultural extensions,
education and training of professional manpower in agriculture and
information transmission.
Article 68
The competent authorities shall reward those persons who contribute
to the development of agriculture through agricultural
experimentation, research, education and extension. The regulations
for granting the said rewards shall be formulated by the central
competent authority.
Chapter 7 Penalty
Article 69
The penalty provisions of the Regional Planning Law or the Urban
Planning Law shall be imposed on the violators of agricultural land
use provided by the land use regulations of the Regional Planning
Law or the Urban Planning Law.
Non-compliance of Article 36 or arbitrary land use changes of the
arable lands taken by farmers¡¦ organizations, agricultural
corporations, or agricultural experimentation and research
institutes pursuant to this Act, shall be subject to the preceding
paragraph; and the heads of the said farmers¡¦ organizations,
agricultural corporations, and agricultural experimentation and
research institutes shall be fined a minimum of sixty thousand and
up to three hundred thousand New Taiwan Dollars.
Article 70
A person who establishes a recreational farm and proceeds
recreational agricultural activities without first acquiring a
government permission shall be fined a minimum of sixty thousand and
up to three hundred thousand New Taiwan Dollars and be ordered to
correct the said offense within a prescribed period; for violators
who do not correct within the prescribed period, penalties shall be
imposed by stage.
Article 71
In the event that the land use or operation plans of recreational
farms are changed arbitrarily without permissions from the competent
authorities, notification shall be made for corrections within a
prescribed period as determined by the competent authorities at city
or county/municipality; for violators who do not correct within the
limited period, a fine of a minimum of sixty thousand and up to
three hundred thousand New Taiwan Dollars shall be imposed by stage.
In the event of serious offenses, the registration and permission
may be cancelled.
Article 72
Farmers¡¦ organizations, agricultural corporations or agricultural
experimentation and research institutes in violation of Article 35
in that changing operation and exploitation plans without approval
or laying the arable land idle, shall be fined a minimum of thirty
thousand up to one hundred and fifty thousand New Taiwan Dollars and
be ordered to make corrections within a prescribed period; violators
who do not make corrections within the prescribed period, penalties
shall be imposed by stage.
Article 73
The fines of this Act shall be imposed by the competent authorities.
Article 74
The fines imposed by this Act shall be paid within a prescribed
period. Fines in default shall be subject to compulsory execution by
the court of law.
Chapter 8 Supplementary Provisions
Article 75
The competent authorities at each level in handling applications or
registration and the issuance of certification pursuant to this Act,
shall charge review fees, registration fees or certification fees to
the applicant. The standard of charging the said fees shall be
formulated by the central competent authority.
Article 76
The implementation rules of this Act shall be established by the
central competent authority.
Article 77
This Act shall come into effect as of the date of promulgation. |