In Taiwan's tax institution history, Securities Transactions Income Tax is one of the unique cases that which had been created and demolished four times. In 2012 the ex-president Ying-Chiu Ma announced to establish the Securities Transactions Income Tax institution again, however, in two years later, the parliament decided to demolish the tax institution again. In this regard, the author is curious about what are the processes of this institutional change, and what are the different political actors play the role and use the different ideas, political discursive strategies in the institutional construction and demolish procedures? In order to the research questions, the author applies the theory of Discursive Institutionalism from Vivien Schmidt to conduct the analysis. The study finds that the Securities Transactions Income Tax reformed undergone three phases: First, the construction phases of the institution in 2012. Second, the modified phases of the institution in 2013-2014, and third, the demolishment and exhaustion phases of the institution in 2015. Moreover, in each phase, the different political actors had tried to utilize the various political ideas and discourse strategies to influence the development of institution. Furthermore, this study argues that the consequence of the institutional changes of Securities Transactions Income Tax in Taiwan, which is echoed with the idea proposed by Streeck & Thelen as the incremental change as the type of "exhaustion". In these procedures, the legislators in the parliament incrementally modified the law piece by piece, which made the original institution tardily loosed its' initial functions of the institution, and eventually made the institution exhausted and demolished.