Taia (32), who had not fought in over a year, used his superior size and better physical conditioning to overpower Benji Kney (34), of Christchurch, at the old Caledonian gym.
The Team Hammerhead fighter improved his record to five wins and one loss, after referee Karl Webber stopped the fight halfway through the second of three scheduled five-minute rounds.
After the fight, Taia said he was "over the moon" with his win.
Taia controlled the opening round and had Kney reeling at one point, after his attempted kick missed its mark and he fell to the canvas. Taia then unloaded several punches to Kney's head.
In round two, Kney tried to rush at Taia, but Taia kept his distance and picked off some nice punch and knee combinations.
Halfway through the round, and pressed up against the cage, Kney was hit with some brutal knees to his body and, when Taia unleashed numerous head punches, Webber stepped in.
The fight card consisted of six mixed martial arts fights and six kickboxing bouts.
Hammerhead promoter and coach Matt Toa said he was proud of how his fighters had performed and was pleased with the calibre of fighters, who came from as far north as Auckland and as far south as Invercargill to compete.
Before the main event, the crowd of about 800 roared with delight when Brogan Anderson (Hammerhead) submitted Beau Rawiri, of StrikeForce Auckland, with an armbar in the first round of their mixed martial arts middleweight fight.
Anderson is a ripped ball of muscle and his fighting style matches his physique. He has won his last three fights by armbar submissions and can equally bang it out on his feet.
The 22-year-old personal trainer took his record to five wins and two losses. Anderson said he got an "unbelievable feeling" from his win, and there were no words that could describe the buzz he got from a hall full of screaming fans.
Another Dunedin fighter to impress was Benoit Auvrey, of Gracie Oceania, who submitted Jason Smith, of Queenstown, by rear choke, in the second round of their mixed martial arts contest.
Ronnie Parks (Hammerhead) beat fellow Dunedin man Devon Latoa (FI G) in a full Muay Thai 80kg bout.
In one of the biggest knockouts of the night, Parks stopped Latoa in the second round, after several vicious knees to his head left Latoa sprawled on the canvas.
Manu Panirau (Hammerhead) danced his way to the cage, much to the delight of the crowd.
He then systematically took apart Sam Casperson, of Christchurch, with some impressive leg kicks, knees and head punches.
Matt Eden (Hamerhead) was the only other Dunedin fighter to win, while team-mate Adam Eketone earned a draw. Casey Koster and David Leith both lost their bouts.
