Following Taiwan's return to Chinese rule, in the 1950s, the Nationalist government levied commodity taxes. The tax rate imposed on cosmetics, considered luxury items, was 100 %. Tax declarations had to be purchased before products could be shipped. This surge in costs was a millstone around the necks of businesses which were also faced with massive imports of foreign cosmetics.
光復後的 1950 年代，國民政府開徵貨物稅，被視為奢侈品的化妝品稅率高達百分之百，產品出貨前就要先買稅單，成本遽增導致業者經營困難，加上外國化妝品大量進口，造成新竹香粉業一落千丈，盛況不再。