Taiwan, a nation with a high population density and a lack of natural resources, depends on imports for almost 100% of its energy and metal needs. Municipal solid waste (MSW) management has become a vital environmental issue in the country. In this regard, resource recycling is thus becoming attractive and part of environmental and economic policies for promoting sustainable development and for attaining the goal of "zero waste" in recent years. The objective of this paper is to present an integrated evaluation of MSW in light of Taiwan's government laws and regulations. The description first focuses on the current status of MSW generation and clearance and its recycling. It also centers on new, revised legislation and regulations (especially policies concerning environmental protection and financial incentives for MSW recycling), which have become effective since 1997. The regulatory system (i.e., Waste Disposal Act, Environmental Basis Law, and Statute for Upgrading Industries) is not only to give financial incentives, but also to provide technical assistances and transfer of information for promoting resource recycling. As a newly developed country, Taiwan's recycling system-the "4-in-1 Recycling System", which includes the Resource Recycling Management Fund-has successfully proceeded and will provide a cost-effective demonstration for those countries that are developing their resource recycling from MSW.