Singapore: Budget 2016

Singapore: Budget 2016

Singapore’s budget for 2016 reflects initiatives of the new Finance Minister and the government’s desire to balance both social and business needs. This year’s budget focuses in part on small and medium sized enterprises (SMEs), and pledges support for SMEs that are venturing into innovation and exploring foreign markets, by affording easier access to government grants and support. The focus is outside of large multinational companies, yet the approach is sector-focused, with calibrated measures that address the unique needs and challenges faced by Singapore’s SMEs.

Related content

Among the tax provisions in the budget 2016 are measures for an increase in amount of the corporate tax rebate that largely benefits SMEs that are actually paying tax (start-ups making losses will not be able to enjoy the benefits). Other tax measures provide for an extension of the non-taxation of gain from equity investment, and provide a certain degree of flexibility to claim writing-down allowances on the acquisition cost of intellectual property (IP) over a longer period of time, thereby helping companies to take full advantage of foreign tax credits on foreign royalty income arising out of IPs.

 

Read a March 2016 report [PDF 5.9 MB] prepared by the KPMG member firm in Singapore: Budget 2016

The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Request for proposal

 

Submit

KPMG's new digital platform

KPMG's new digital platform