On or about 2 January 2020, the Inland Revenue Authority of Singapore (IRAS) has updated content on transfer pricing.
The IRAS has updated the indicative margin which taxpayers can apply on each related party loan not exceeding S$15 million during the period from 1 January to 31 December 2020.
| Related party loan not exceeding S$15 million obtained or provided during the period | Indicative margin |
| 1 January 2017 to 31 December 2017 | + 250 bps (2.50%) |
| 1 January 2018 to 31 December 2018 | + 175 bps (1.75%) |
| 1 January 2019 to 31 December 2019 | + 175 bps (1.75%) |
| 1 January 2020 to 31 December 2020 | + 200 bps (2.00%) |
The IRAS will update the indicative margin at the beginning of each calendar year.
For more information, please visit the IRAS website.
Source: IRAS website, 2 January 2020