On 27 July 2018, the Inland Revenue Authority of Singapore (IRAS) has updated the Third Edition of the e-Tax Guide on GST: Fringe Benefits. The following were the amendments:
- Footnote 11 – to elaborate on the meaning of ‘any other cost’ in the explanation of business goods used by employees for private purposes
- Paragraph 6.10 – to add ‘lunch time talks held for employees’ to the examples of events organised to promote staff interaction
- Paragraph 7.7 – to change the period of what is regarded as ‘temporary accommodation’ provided to foreign employees from 30 days to 31 days and to clarify that full input tax will be disallowed so long as this period is exceeded
- Paragraph 7.12 – to extend the concession to transport expenses incurred to shuttle employees to and fro events and activities organized by the company and make clear that expenses incurred directly in connection with any motor car remain blocked under regulation 27 of the GST (General Regulations).
- Footnote 13 – to remove the ‘bus-stop condition’ in determining whether a workplace is regarded as remote
- Footnote 15 – to clarify that input tax relating to flexible benefits is not claimable regardless of the nature of the goods and services procured using the flexible benefits budget and even if the company has the supporting receipt or invoice.
- Annex C (Accommodation and related household expenses) – to address the scenario where an additional phone is given to the employee to be used solely for business purposes and inserted footnote 17 to clarify that output tax need to be accounted for if the phone is given away to the employee.
- Inserted footnote 19 to Annex C (Transport and related expenses) to clarify that input tax incurred on chauffeur/driver services in relation to a motor car is not claimable
Source: IRAS, 28 July 2018