Investors turn to Singapore for establishing their operations for several reasons. The ease of setting up and operating businesses is a prime motivator. Another central determinant is Singapore’s tax regime – well-known for its attractive corporate and personal tax rates, tax relief measures, absence of capital gains tax, one-tier tax system, and extensive double tax treaties.
Persons, including corporations, partnerships, trustees and bodies of persons carrying on any trade, profession or business in Singapore are chargeable to tax on all profits (excluding profits arising from the sale of capital assets) arising in or derived from Singapore and certain foreign-sourced income from such trade, profession or business.
Income | Tax Rate |
---|---|
Tax rate on corporate profits for up to 300,000 SGD | 8.5% |
Tax rate on corporate profits above 300,000 SGD | 17% |
Tax rate on capital gains accrued by the company | 0% |
Tax rate on dividend distribution to shareholders | 0% |
Tax rate on foreign-sourced income not brought into Singapore | 0% |
Tax rate on foreign-sourced income brought into Singapore | 0 – 17% subject to conditions |
Income | Tax Rate |
---|---|
Tax rate on first 20,000 | 0% |
Tax rate on next 10,000 | 2% |
Tax rate on next 10,000 | 3.5% |
Tax rate on next 40,000 | 7% |
Tax rate on next 40,000 | 11.5% |
Tax rate on next 40,000 | 15% |
Tax rate on next 40,000 | 17% |
Tax rate on next 120,000 | 18% |
Tax rate on above 320,000 | 20% |
Tax rate on capital gains | 0% |
Tax rate on income earned overseas | 0% |
Tax rate on dividends received from Singapore company | 0% |
Designed by: Ars Emporium