Taiwan Cabinet Seeks Record NT$607.6 Billion Supplementary Budget as Elections and Tax Case Stir Politics

Taiwan's Cabinet has proposed the largest supplementary budget in its history, setting aside NT$607.6 billion in additional spending. The package now goes to the Legislative Yuan, where opposition parties have promised close scrutiny.

The government says NT$421.3 billion will support household finances and stabilize prices. More than NT$187.5 billion is earmarked for oil and gas subsidies, while the Ministry of Economic Affairs said household natural gas and bottled gas prices would remain frozen until the end of the year. State oil company CPC would receive NT$233.8 billion in new capital, more than half of the living-cost stabilization allocation.

The proposal also includes NT$145.7 billion for defense, including NT$55.9 billion for unmanned vehicles. Opposition lawmakers questioned why that money appeared in a supplementary budget rather than a special budget. They also criticized the Cabinet for seeking more than NT$6,000 billion while refusing to implement a law raising pay for police, firefighters and military personnel. The government said the plan would not disrupt fiscal planning or increase debt and urged lawmakers to review it rationally and pass it quickly.

Election politics added another layer of tension. Registration for Taiwan's year-end local elections ended on Sept. 4, with voting scheduled for Nov. 28. Sixty-four candidates had registered for county and city magistrate races by the previous day, and the main contests across 22 cities and counties had largely taken shape. Kuomintang Chairwoman Cheng Li-wen appeared with Hsinchu County candidate Hsu Hsin-ying, while former Hsinchu County magistrate Fan Chen-tsung publicly backed Hsu but sharply criticized Cheng's efforts to coordinate the opposition. He warned that if the party lost, Cheng would bear the greatest responsibility.

A separate corruption case centered on a senior official at the Finance Ministry's Central Area National Taxation Bureau. Prosecutors allege that the official worked with accountants to help selected taxpayers evade taxes in exchange for illegal benefits. Six searches reportedly uncovered more than NT$10 million in cash and gift certificates, as well as evidence of an affluent lifestyle. The official and two accountants were detained, while another accountant received bail.

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If we lose, the biggest culprit will be you!