Tax incentives proposed by MAS review group not a ‘silver bullet’, say experts

TAX deductions and lower corporate tax rates may be among the incentives that the MAS equities market review group considers as part of measures to strengthen Singapore’s equities market development, industry experts told The Business Times. However, they cautioned that tax perks alone will not be a silver bullet and must be paired with other strategic initiatives.

“To attract quality companies to list in Singapore, the review group may consider enhanced tax deduction(s) which could be accorded to companies that list on the Singapore Exchange (SGX),” said Ajay Kumar Sanganeria, KPMG Singapore partner and head of tax.

These could cover expenses such as underwriting and placement agent fees, listing application fees payable to SGX, and professional services fees for legal, accounting, and tax advisory support.