Singapore Corporate Tax System - How to helps to reduce tax liability

Taxable Income is any income that is "accrued" or received in Singapore by a company is liable to tax. The company may be subject to income tax even though elsewhere and not incorporated or registered in Singapore

No capital gain tax

In Singapore corporate tax system, capital gains are not subject to tax. For instance, if a trading company sells its office, the profit on sale of the office is not subject to tax.

Introduction of on-tier tax system

From 1 January 2003, the One-Tier Corporate Tax System took effect, replacing the old imputation system. Under the one-tier corporate income tax system, Singapore resident companies can issue one-tier exempt dividends. The shareholders will not be taxed on such dividend income under the one-tier corporate tax system.

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