Tips to Manage Company Tax in Singapore | Bestar

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Tips to Manage Company Tax in Singapore
Bestar Services Pte. Ltd
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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore

• Every company business operating in Singapore
  has only two concerns profit making and
  reducing company tax to increase profit after tax
  for significant profits. When it comes to paying
  Corporate Taxes, Singapore tops the list and
  attracts vast companies businesses worldwide to
  come, operate their business, and earn
  significant revenues.
• Singapore has one of the worlds lowest corporate
  tax rates on chargeable income. For every small,
  medium, and large organization, Corporate Tax
  Filing  Income tax is one of the biggest
  concerns as it can create havoc for their
  operations and business functioning, especially
  for SME sectors.
• Compliance with Tax Corporate Tax Filing is
  challenging, especially with limited resources.
  In this blog, we will walk you through tips to
  manage Company Tax in Singapore.

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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore
Tips for Managing Company Tax There are numerous
schemes and tips to manage Company Tax in
Singapore. The following are the proven-effective
tips that you can implement
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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore

• The Regional Headquarters Award (RHA)
• It is administered by Singapores Economic
  Development Board (EDB). Companies receiving RHA
  have the benefit of paying lower Corporate Tax
  Rates. Singapores Corporate Tax Rate is 15.
• It means that for all qualifying activities in a
  3-5 years period, companies only have to pay 15
  Corporate Tax on incremental income. And this
  amount is indeed subject to satisfying in
  accordance with specified conditions, which must
  be met throughout the award period.
• The EDB oversees the RHA to encourage global
  companies to make Singapore their regional
  headquarters (operations base). The primary
  objective of this scheme is to promote Singapore
  as the hottest Regional Business Hub in the
  world.

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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore

• 2. The Business IPC Partnership Scheme (BIPS)
• BIPS provides businesses with a massive Corporate
  Tax deduction of up to 250 in Singapore. It is
  applicable for qualifying expenses incurred when
  employees have volunteered or offered
  professional services to recognized Institutions
  of Public Character (IPCs) in Singapore.

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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore

• 3. Development Expansion Incentive (DEI)
  Pioneer Certificates (PC) Incentive
• Both DEI PC schemes primary objective is to
  foster Singapores development by engaging
  organizations in new business activities expand
  their production potential. If you have been
  thinking of starting a new business in Singapore,
  this is one of the best schemes for you.
• The PC scheme applies to companies established in
  Singapore and has economic operations for a long
  time to benefit Singapores economy massively.
• At Bestar Services, we provide comprehensive compa
  ny incorporation registration services in
  Singapore. Our highly skilled Corporate Advisory
  Consultants will guide you with all steps and
  paperwork for smoothly setting up a business in
  Singapore and also assist you with expanding your
  production proficiency.

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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore
4. Start-up Tax Exemption Scheme (SUTE) It is a
scheme by Singapore Government to support
entrepreneurs and local businesses growth. It was
introduced in Singapores 2018 budget, exempting
the first S100,000 of start-ups chargeable
income tax from 75 Corporate Tax. Under this
scheme, start-up companies will be exempt from
50 of their following S100,000 chargeable
income.
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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore
5. Charitable Donations Charitable Donations are
a primarily used and highly effective tip to
manage Corporate Tax in Singapore. Businesses can
get tax exemptions through charitable donations
to any organization registered as an Institute of
a Public Character (IPC) in Singapore. Qualifying
companies can enjoy 250 tax deductions based on
the donated amount. Note Tax Deductions for
qualifying businesses will be extended for
additional two years till 31st December 2023.
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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore

• 6. Double Tax Deduction Scheme for
  Internationalisation (DTDi)
• Enterprise Singapore administers the DTDi scheme.
  Companies can benefit from the DTDi Tax Deduction
  scheme with a substantial 200 tax deduction on
  eligible expenses incurred on expanding their
  business in the International Market Investment
  Development Activities.
• The primary objective of this scheme is to
  encourage Singaporean companies to take their
  business to an International level. DTDi supports
  activities across salient stages of the business
  International growth journey primarily in four
  key categories Market Preparation, Market
  Exploration, Market Promotion, and Market
  Presence.
• Businesses can automatically claim a 200 tax
  deduction on their first S150,000 qualifying
  expenses for nine activities every assessment
  year.
• Read more about it at https//www.enterprisesg.gov
  .sg/financial-support/double-tax-deduction-for-int
  ernationalisation.

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Tips to Manage Company Tax in Singapore
Tax Planning While Being In Singapore
Conclusion

• After reading the blog, you will have a clear
  comprehension of different schemes through which
  you can legally exempt from paying less Corporate
  Taxes in Singapore. The schemes will also foster
  your business growth in Singapore and
  internationally as well. However, if you have any
  questions regarding the tips or need more advice,
  feel free to contact us.
• At Bestar Services, we provide comprehensive Tax
  Planning and Advisory Services in Singapore to
  ensure our clients get every required Tax Service
  in Singapore, from Singapore Compliance in
  Corporate Tax, Personal Income Tax
  Compliance, Singapore GST Compliance,
  and Singapore GST Registration.
• We have a team of highly qualified professional
  Tax Advisory Consultants in Singapore who are
  well-versed with the latest tax compliances in
  Singapore and clever with ways to manage
  Corporate Tax legally.
• Partner with one of the best Tax Advisory
  Consultancy in Singapore and get assistance with
  Singapore Tax Compliance and Corporate Tax
  reduction tips.
• For a consultation with our Tax Advisory
  Consultant, contact us via email
  at admin_at_bestar.asia or call at 65 62994730.
• Refer to our other blog, Tax Planning While
  Being in Singapore for your reference.

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