On 10 September 2018, the Ministry of Finance has published the summary of responses to public consultation on the draft Income Tax (Amendment) Bill 2018, The Bill was tabled for its first reading at Parliament on 9 October 2018.
The details on draft Bill proposed are to incorporate the legislative amendments to effect tax changes announced in the Budget 2018, changes arising from the periodic review of the income tax system; and changes to strengthen law enforcement:
- Enhancement and extension of the Corporate Income Tax (CIT) rebate
- Adjustments to the Start-Up Tax Exemption Scheme (SUTE) and the Partial Tax Exemption Scheme (PTE) from YA 2020,
- Enhancement of the Double Tax Deduction for Internationalisation (DTDi) scheme; and
- Enhancement of the Inland Revenue Authority of Singapore (IRAS)’s powers to investigate serious tax crimes, such as the power to arrest an individual without warrant.
Feedback received are on following changes:
- Allowing tax deduction on car-related expenses incurred by private-hire car drivers against their driving income
- Enhancing the IRAS’s powers to investigate tax crimes
- Facilitating the sharing of information by IRAS with law enforcement agencies to combat serious crimes
- Clarifying the tax treatment for leases arising from the adoption of Financial Reporting Standard 116 leases
- Clarifying the tax treatment for real estate investment trust exchange-traded funds
For more information about responses to common feedback, please go to MOF’s website.
Source: MOF, 12 September 2018