Singapore is one of the most tax-friendly places for expats: no capital gains, no inheritance tax, and foreign income kept offshore is generally tax-free. But how much you pay is not fixed. Your residency, pay structure, and exit timing all factor into how much you pay. Tax Residency Status Firstly, you must determine whether you […]
If you are an expat running a business through a company or partnership registered in another country, Singapore may classify your entity differently from how it is classified at home. This can change how you are taxed. The Inland Revenue Authority of Singapore (IRAS) applies the “Resemblance Approach” to determine the tax treatment of your foreign entity. […]
As an Expat running a business in Singapore, you may be considering the idea of setting up an offshore parent company in an offshore jurisdiction to hold your Singapore entity. The Structure This structure has certain advantages, as Singapore has Double-Taxation Agreements (“DTA”) with over 100 countries which provide benefits such as reduced withholding tax […]
Expatriates in Singapore may receive overseas income that has already been taxed in another country. Without relief, this same income could be taxed again in Singapore, resulting in double taxation. To prevent this, Singapore provides a Foreign Tax Credit (FTC). What is FTC? The Foreign Tax Credit (FTC) is a system which allows Singapore tax […]
Many business owners consider restructuring their companies to reduce their tax bill. Singapore’s tax system permits tax planning to minimise tax liability. However, there is a difference between legitimate tax reduction and tax avoidance. The Law Section 33 of the Income Tax Act 1947 gives the Comptroller of Income Tax the power to disregard arrangements […]
Singapore is one of the most tax-friendly places for expats: no capital gains, no inheritance tax, and foreign income kept offshore is generally tax-free. But how much you pay is not fixed. Your residency, pay structure, and exit timing all factor into how much you pay. Tax Residency Status Firstly, you must determine whether you […]
If you are an expat running a business through a company or partnership registered in another country, Singapore may classify your entity differently from how it is classified at home. This can change how you are taxed. The Inland Revenue Authority of Singapore (IRAS) applies the “Resemblance Approach” to determine the tax treatment of your foreign entity. […]
As an Expat running a business in Singapore, you may be considering the idea of setting up an offshore parent company in an offshore jurisdiction to hold your Singapore entity. The Structure This structure has certain advantages, as Singapore has Double-Taxation Agreements (“DTA”) with over 100 countries which provide benefits such as reduced withholding tax […]
Expatriates in Singapore may receive overseas income that has already been taxed in another country. Without relief, this same income could be taxed again in Singapore, resulting in double taxation. To prevent this, Singapore provides a Foreign Tax Credit (FTC). What is FTC? The Foreign Tax Credit (FTC) is a system which allows Singapore tax […]
Companies often provide stock options and share awards to employees as employment benefits. For expatriate employees planning on leaving Singapore, these unvested shares may result in additional tax liabilities. Deemed Exercise Rule Section 10(6) of the Income Tax Act 1947 provides for the “deemed exercise” rule. Under this rule, when a foreign employee ends their employment […]
Expatriates living in Singapore often own property, shares, or other investments in their home country or elsewhere overseas. For those who decide to sell any of these assets, an important question is whether any gains from the sale are subject to tax in Singapore. Section 10L Of The Income Tax Act 1947 Section 10L of […]
Investing in shares is a common way for expatriates to grow their wealth while living in Singapore. The city is known for its investor-friendly environment, stable financial system, and transparent regulatory framework. However, many expatriates are unsure how profits from share trading are treated for tax purposes. Understanding the rules can help investors plan effectively, […]