Singapore

SINGAPORE BUDGET 2021 COVID-19 Resilience Package In the 2021 Budget Statement, the government will launch the 11 billion COVID-19 Resilience Package which will continue to assist Singaporeans and Companies that have been hit hard by the pandemic to tide over the difficulties. The details are as below:   Safeguarding public health and re-opening safely   4.8 billion billion of the COVID-19 resilience package will be set aside for public health and safe-reopening measures, covering costs for vaccination and contract tracing, testing and isolation facilities.   Support workers and businesses   Job Support Scheme (JSS) will continue to be provided for up to the next six months from Apr until September for sectors that continue to be hard hit, such as those in Tier 1 – aviation, aerospace and tourism sectors. The JSS extension will cost 700 million. S$700 per month for 3 months, for employees who have lost their jobs […]

Work Arrangements of Dependant’s Pass Holders   Dependant’s Pass (DP) is a relocation visa issue for legally married spouse or unmarried children under 21 years of eligible Employment Pass or S Pass holders.   Work arrangement before 1 May 2021   DP holders who are dependants of Employment Pass, EntrePass or Personalised Employment Pass holders can apply for a Letter of Consent (LOC) to work in Singapore.   Work arrangement on or after 1 May 2021   All DP holders who wish to work during their stay in Singapore will need an applicable work pass (such as an Employment Pass, S Pass or Work Permit) instead of an LOC, unless they are business owners who meet specified criteria.   Existing DP LOC holders will be allowed to continue working until the expiry of their LOC. Employers will need to apply for an applicable work pass should they wish to continue […]

Advantage of Incorporation of a Singapore Company   Singapore is Asia’s business epicentre, straddling both East and West. In fact, it has been consistently hailed as “the land of opportunity” by many, including the Economist.   In recent years, a number of international corporations, have made Singapore its base for operating in Asia via Singapore. Besides having one of the lowest corporate tax rates, Singapore is also considered by many as the gateway to ASEAN. In addition, its many business-friendly policies make its easy for companies to set up and run their business in this South-east Asia country.   The Advantage of Singapore   Extensive Double Tax Treaties   Singapore has an extensive network of double tax agreements (DTA), with more than 80 counties across the global. The key benefits of a DTA will be:   The avoidance of double taxes; Lower withholding taxes and Preferential tax regime   This […]

Comparison of Singapore Immigration Routes   Singapore is strategically located between the Pacific Ocean and the Indian Ocean, has attracted many high- net- worth people to immigrate due to its stable political environment, free trade economy, low tax rate and investment risk. Currently, there are mainly three routes to immigrate to Singapore, namely, Global Investor Programme (GIP), Single Family Office and Self- Employment Pass. Different immigration routes need to meet different conditions, the three immigration routes are briefly compared in the table below.    Item GIP Single Family Office Self- Employment Pass Time to obtain Permanent Resident (PR) Directly grant PR once approved PR shall be applied for at least two years after Employment Pass (EP) application Eligible to apply for PR at least three years after EP application Eligibility of Applicant Established Business Owners, Next Generation Business Owners, Founders of Fast Growth Companies or Family Office Principals Certain educational […]

MONEY-CHANGING LICENCE  IN Singapore   Money-changing licensees are licensed and regulated under the Payment Services Act (“PS Act”) to conduct only money-changing services ie. the service of buying or selling foreign currency notes. Entities that provide other payment services must hold a Standard Payment Institution Licence or Major Payment Institution Licence.   Application requirements for Money-Changing Licence   The individual applicant, partners or directors of a company applying should have a minimum of 1 year’s relevant working or business experience on a full-time basis. Individual – Sole proprietors, the applicant must be a Singapore citizen. Partnership or Limited Liability Partnership (LLP) – the majority of its partners should be Singapore citizens. If there are only two partners, only one need to be a Singapore Citizen. Singapore-owned Company – More than 50% of the equity shareholdings should be beneficially owned and effectively controlled by Singapore citizens. A majority of the board […]

Singapore Goods and Services Tax Guide   Goods and Services Tax (GST) is similar to Valued Added Tax (VAT) in other countries and is a relatively new form of tax in Singapore. GST was implemented on 1st April 1994 in Singapore. The Singapore GST Act is modelled on the UK VAT legislation and New Zealand GST legislation. The Inland Revenue Authority of Singapore (IRAS) acts as the agent of the Singapore government and administers, assesses, collects and enforces payment of GST.   The purpose of introducing GST to Singapore is to maintain a stable tax base while reducing personal and corporate income tax. GST is an indirect tax, expressed as a percentage (currently 7%) applied to the selling price of goods and services provided by GST registered business entities in Singapore.   This guideline provides an overview of the key concepts of Singapore’s GST system: definition of GST, registration requirements, […]

Guide to Relocating/Settling Down in Singapore   Singapore is considered by many investor/business owner as the gateway to ASEAN by having one of the lowest corporate tax rates and the government business-friendly policies make its easy for foreign companies to relocate or set up their office in Singapore.   A number of famous entrepreneurs (UK billionaire James Dyson and the owner of Haidilao Hot Pot Zhang Yong) had relocate their headquarter/office to Singapore in order to take advantage of the great number of business opportunities and benefits is offers.   This article will give you an overview on the reason to relocation to Singapore, the procedure as well as how to settle down in Singapore.   The Advantages of Singapore   (1)     Extensive Double Tax Treaties   Singapore has an extensive network of double tax agreements (DTA), with more than 80 counties across the global. The key benefits of a […]

Introduction to Air Travel Bubble Singapore-Hong Kong   Singapore and Hong Kong have reached an in-principle agreement to establish a two-way Air Travel Bubble (“ATB”). This will allow travel between both cities without quarantine. The ATB is a milestone arrangement between two aviation hubs and seeks to revive air travel in a safe and progressive way.   Eligibility Criteria for ATB   (1)     Flying from Singapore   You are eligible to fly from Singapore to Hong Kong under the ATB arrangement if you:   (a)     have stayed in Singapore and/or Hong Kong at least 14 consecutive days before departure.   (b)     fly direct on a designated ATB flight.   (c)     are not a Work Permit or S Pass holder working in construction, marine shipyard or process sectors.   (d)     test negative for Covid-19 within 72 hours before your flights and upon your arrival at Hong Kong International Airport. You will […]

INTRODUCTION TO TECH.PASS IN SINGAPORE   Singapore’s Economic Development Board (EDB) announced on 12 November that it will launch a new “Tech.Pass” to promote the city-state’s technology ecosystem and make it a regional hub for technology.   With the support of the Ministry of Manpower, the Economic Development Board will examine applications for the Tech.Pass. The program is expected to open for application in January 2021 and is currently limited to 500 slots.   Application requirements for Tech.Pass   As long as two of the three conditions are met, the pass holders will have the flexibility to participate in activities such as starting and operating business, or be an investor, employee, consultant or director in Singapore-based companies. They can also act as a mentor to start-ups or lecture at local universities.   Three conditions are as follows:   Have a last drawn fixed monthly salary in the past year of […]

Guide to Audit Exemption for Small Companies in Singapore   The Singapore Companies (Amendment) Act 2014 brings in the concept of small company, which replaces the exempt private company for purposes of audit exemption. This article considers the features of this new regime and illustrates its application to existing as well as new companies.   Small company   With the introduction of small company concept, more companies will qualify for audit exemption, thus reducing compliance costs and creating a more business-friendly environment.   Paragraph 2 of the Thirteenth Schedule of the amended Companies Act (Cap 50, 2006 Rev Ed) (hereafter the “Thirteenth Schedule”) states that a company is a small company from a particular financial year if:   (1)     it is a private company throughout the financial year; and   (2)     it satisfies any 2 of the following criteria (hereafter the “quantitative criteria”) for each of the 2 financial years […]