On or about 23 Feb 2022, the Inland Revenue Authority of Singapore (IRAS) has updated its web page to rules on imported low-value goods and business-to-customer (“B2C”) non-digital services straddling 1 Jan 2023.
The Minister for Finance announced in Budget 2021 that from 1 Jan 2023, GST will be extended to imported low-value goods and business-to-customer (“B2C”) non-digital services by way of reverse charge or through the Overseas Vendor Registration (OVR) regime.
With this extension of the regime, all imported low-value goods and business-to-customer (“B2C”) supplies of imported services, whether digital or non-digital, will be brought to tax, if the services can be supplied and received remotely. Such services will be known as ‘remote services’.
For more information, please refer to the e-Tax Guides (First Edition) published on 30 Jul 2021:
- GST: Taxing imported low-value goods by way of the overseas vendor registration regime; and
- GST: Taxing imported remote services by way of the overseas vendor registration regime
Where the import of low-value goods or B2C non-digital services straddling 1 Jan 2023 is subject to GST, GST must be charged at the prevailing new rate.