Laws and Regulations Database of the Central Bank of the Republic of China(Taiwan)

Tai Yang Fa No. 000016119 Date：June 23, 2000
Original to Mr. ○, ○○
Copy to Secretariat of the Executive YuanPrimary 
Subject:
This is a response to your request regarding an interpretation of Article 14 of the 
Regulations Governing the Entrustment in Taiwan to the Bank of Taiwan of the 
Issuance of the New Taiwan Dollar by the Central Bank of the Republic of China 
(Taiwan). Please take note of the following Explanations.
Explanations:
1.This is in reply of your letter dated May 11, 2000, referred to the Bank by a 
letter of the Secretariat from the Executive Yuan, No.Tai 89 Tsai Yi 29401 dated 
May 25, 2000.
2.Article 14 of the Regulations Governing the Entrustment in Taiwan to the Bank of 
Taiwan of the Issuance of the New Taiwan Dollar by the Central Bank of the Republic 
of China (Taiwan), promulgated by the Executive Yuan on June 30,1961, has been re-
numbered as Article 12 of the same regulations.
3.Article 12 of the Regulations Governing the Entrustment to the Bank of Taiwan of 
the Issuance of the New Taiwan Dollar by the Central Bank of the Republic of China 
(Taiwan) in Taiwan provides that all public and private accounting standards in the 
area in which the New Taiwan Dollar is legal tender shall use New Taiwan Dollar as 
the unit of account. The accounting vouchers, books and statements made by a 
publicly or privately owned enterprise in accordance with the Accounting Act and 
the Commercial Accounting Act shall use the New Taiwan Dollar as the bookkeeping 
unit. Therefore,if your inquiries involve the handling of accounting affairs, this 
provision shall apply. In addition, according to Article 2 of the same regulations 
and Article 13, Paragraph 2 of the Central Bank of the Republic of China (Taiwan) 
Act, the New Taiwan Dollar is the legal tender and therefore must be used as the 
calculation unit and payment instrument for (violation) fines, taxes and goods 
within the ROC.
4.The silver dollar had been national currency before the abolishment of the 
Regulations Governing the Issuance of Silver Dollar and Silver Dollar Notes on 
August 5, 1992. Prior to that date, certain provisions in law and regulations 
prescribed the silver dollar as currency unit unless otherwise stated in New Taiwan 
Dollar terms. As such, government or private sector would on occasion use silver 
dollars to conduct business or to fix the amount of fines.  Since then laws and 
regulations have been revised gradually and the New Taiwan Dollar has become the 
new valuation unit. On July 17, 1992, the government promulgated the “Law 
Governing the conversion between the Monetary Unit Used by Current Laws and 
Regulations and the New Taiwan Dollar”. Since then all public and private 
accounting standards in the area in which the New Taiwan Dollar is legal tender 
shall use New Taiwan Dollar as currency unit.