Base Erosion and Profit Shifting (BEPS)

SINGAPORE BUDGET 2025

Budget 2025 expected to bring tax rebates, no ‘significant’ tax hikes

Observers expect rebates for both corporate income and personal income taxes, to alleviate cost pressures

Deloitte has also made recommendations to enhance the Refundable Investment Credit incentive scheme, which Singapore introduced to encourage companies to make investments that bring substantive economic activities to the Republic.
SINGAPORE BUDGET 2025

Deloitte calls for interest-free tax instalments for multinationals in Budget 2025 wish list

This will help businesses adapt to the upcoming minimum tax framework under BEPS 2.0, notes professional services firm

Minister of State for Trade and Industry Alvin Tan notes that a company affected by the global minimum effective tax rate may find the new 15 per cent tax rate tier under the DEI “sufficient for its needs”.

Singapore expands eligibility, adds higher BEPS 2.0-compliant tax rate for corporate incentive scheme

The updates to the Development and Expansion Incentive scheme come amid global corporate tax changes

Second Minister for Finance Indranee Rajah says it is in Singapore’s interest to impose the two new top-up corporate taxes and collect the taxes, rather than cede them to other jurisdictions.

Minimum 15% tax on multinational enterprises will sustain Singapore’s edge: Indranee

Lawmakers debate new legislation that seeks to impose top-up corporate taxes on large multinationals here

It would make sense to allow Maritime Sector Incentive-Maritime Leasing taxpayers to opt for a 10 per cent tax rate, even if their income qualifies for the tax exemption or 5 per cent tax rate under the present award parameters.

A new lease of life for Singapore’s legacy tax incentives 

Policymakers should consider the value in leveraging and re-purposing some of Singapore’s legacy tax incentives in the coming year.

In line with the BEPS 2.0 framework, Singapore’s proposed law targets MNEs with consolidated annual revenues of at least 750 million euros over two of the preceding four financial years.

Singapore introduces legislation for top-up corporate taxes, in line with Pillar 2 of BEPS 2.0

The move implements a commitment to global tax rules, announced in Budget 2023

Incentives are rarely the only consideration when companies make investment decisions, says EDB chairman Png Cheong Boon.

Singapore’s tax incentives remain relevant even with global tax changes: EDB chairman

Pause in investments unlikely as companies often take a long-term view, says Png Cheong Boon

A good tax governance structure signifies lower tax risks and, consequently, reduced tax audits and controversies
THE BROAD VIEW

Tax governance – a blueprint for tax health

“AN OUNCE of prevention is worth a pound of cure,” said Benjamin Franklin.

Businesses may not leave Singapore due to tax changes, but the amount of new investment may be affected, says PwC global tax policy leader William Morris.

Singapore may see ‘short pause’ in investments as businesses await refundable credit details: PwC tax leader

SINGAPORE is likely to see a “short pause” in investments in the near term, as large multinational enterprises (MNEs) wait to see what incentives other countries will offer in light of global tax chan...

It is interesting that the U-turn to levy a top-up tax is conveniently happening at a time when the developed world is no longer the net exporter of e-commerce services.

BEPS: Hypocrisy and tax protectionism in disguise?

KUDOS to Deputy Prime Minister Lawrence Wong for delivering an extensive and far-reaching Budget. It was not only deeply researched, well thought-out and targeted, but also far-sighted in kickstarting...