The 53-year-old was knocked out of the most prestigious event in the sport by Smith in December, despite winning the tournament 16 times previously.
Having slipped to second place in the rankings, Taylor is now determined to bounce back, starting with the clash against world champion Michael van Gerwen tonight in the opening of the Betway Premier League.
"That World Championship loss was a real kick up the backside and I'm ready to make amends for it," 'The Power' is quoted as saying in the Daily Star. "I just seemed to run out of energy towards the end of the year and that, of course, coincided with the World Championships.
"Since then, I've been to a health retreat in Portugal and now I can say I have never felt better. I got myself sorted out in a calm and relaxing situation that really helped."