Taipei:Taiwan's main opposition party, the Kuomintang (KMT), has proposed a universal cash handout of NT$20,000 (US$627.31) using surplus tax revenues. This amount is double the NT$10,000 handout proposed by President Lai Ching-te last month.

According to Focus Taiwan, the proposal is part of the KMT's draft "Special Act on Sharing the Fruits of Economic Growth with the Entire Population and Stabilizing People's Livelihoods," which is a priority in the new legislative session. KMT caucus leader Fu Kun-chi highlighted that surplus tax revenues have surged due to strong growth in Taiwan's tech sector, reaching NT$528.3 billion last year. This year, revenues are expected to exceed NT$1 trillion, allowing for the proposed handout without government borrowing.

Fu argued that the handouts would boost domestic demand and support Taiwanese businesses. The KMT's plan also suggests that NT$400-plus billion could be allocated to these handouts alongside the Cabinet's NT$600 billion supplementary budget request.

In response, Democratic Progressive Party (DPP) legislative caucus chief executive Chuang Jui-hsiung pointed out that the government's 2027 budget, which includes funding for a NT$10,000 handout, is already with the Legislature. Chuang criticized the KMT for focusing on handouts ahead of local elections, cautioning against an "endless cycle" of increasing handout amounts.

The Taiwan People's Party (TPP), which has previously allied with the KMT, expressed the need for a "comprehensive plan" for surplus tax revenues. The TPP suggests prioritizing debt repayment and supporting social welfare, including benefits for the elderly and school lunches, as stated by Legislator Hung Yu-shiang.