The island of Taiwan is located between the boundaries of the Eurasia and the Philippines Plates and thus earthquakes occurred frequently. The excitation of earthquake affects the integrity of earth dams situated in the mountainous area of the island. A study was conducted to evaluate the dynamic response and safety of one of the earthquake dams. The computer program and soil model used were calibrated for their appropriate use for the subject dam against a well-instrumented centrifuge model. Numerical simulation was then conducted to examine the influence of upstream water storage level on the response of the earth dam. The numerical results identified three locations in the dam where attentions are required because these locations were found susceptible to liquefaction.