Welcome to our E-Newsletter April 2016
We are glad to present you our newsletter for April 2016.
In this issue, we would like to give some highlights to the recent most talked about business topic: Singapore Budget 2016
Our Finance Minister has made his maiden Budget speech, which was a business-minded one, in Parliament recently.
Accordingly, for the Budget, he had spent some time addressing the current economic slowdown and giving help to those who continue to be displaced by economic transformation, but his overarching theme was preparing for the future.
The Budget is focused on the future of Singapore and in keeping Singapore ahead of challenges. The importance of transforming the Singapore society, to build a more caring and resilient society, and transforming the economy through innovation is also highlighted.
For the summary of the Singapore Budget 2016, please refer here
Some salient points that will affect companies are:
Enhancing the Corporate Income Tax Rebate for YA 2016 and YA 2017
To help companies, especially Small and Medium Enterprises (“SMEs”), the Corporate Income Tax rebate will be raised from 30% to 50% for YA 2016 and YA 2017, subject to a cap of $20,000 rebate per YA.
Allowing the Productivity and Innovation Credit (“PIC”) Scheme to lapse and lowering the cash payout rate
The cash payout rate will be lowered from 60% to 40% for qualifying expenditure incurred from 1 August 2016. All other conditions of the scheme remain unchanged. The PIC scheme, which has been extended for YA2016 to YA2018, will expire thereafter. It will not be available from YA2019.
Introducing mandatory electronic-filing (“e-Filing”) for CIT returns (including Estimated Chargeable Income, Form C and Form C-S)
Singapore Budget 2016 aside, individuals are reminded that Personal Income Tax Filing Season for Year 2015 in Singapore is fast approaching.
Singapore’s personal income tax year is from 1 January to 31 December and income is assessed on a preceding year basis. Annual personal tax returns for Year 2015 must be filed with IRAS by 15 April 2016 for manual submission and by 18 April 2016 for e-filing.
For more details, please refer to Personal Income Tax Filing Season for Year 2015
For more details on other new updates and developments, stay tune with us and refer to the details in our upcoming newsletters.
Read More in our E-Newletters April 2016.