A company is taxed at a flat rate of 17% on its chargeable income after tax exemption.
Our services include:
- Corporate tax filing and compliance
- Singapore tax structuring and planning
- Optimizing use of tax incentive and exemptions
- Negotiation of tax incentives and dispute with tax authorities
Tax Exemption Scheme for New Start Up Companies
From Year of Assessment (Y/A) 2005, normal chargeable income (excluding Singapore franked dividends) of up to S$100,000 for each of a qualifying company's first three consecutive Years of Assessment is granted tax exemption. With effect from Y/A 2008, the cap has been increased to S$300,000 and the exempt amount is computed as follows:
- 100% tax exemption on the first S$100,000;
- 50% tax exemption on the next S$200,000.
Partial Tax Exemption
Companies that do not qualify for the tax exemption scheme for new start up companies will enjoy a partial tax exemption on their normal chargeable income (excluding Singapore franked dividends). From Y/A 2008, the exempt amount computed based on a company's first S$300,000 normal chargeable income is as follows:
- 75% tax exemption on the first S$10,000;
- 50% tax exemption on the next S$290,000.
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