{"id":1289,"date":"2019-08-05T17:50:02","date_gmt":"2019-08-05T09:50:02","guid":{"rendered":"http:\/\/ehluar.com\/main\/?p=1289"},"modified":"2020-01-17T18:00:36","modified_gmt":"2020-01-17T10:00:36","slug":"determining-tax-residency-of-a-company","status":"publish","type":"post","link":"http:\/\/ehluar.com\/main\/2019\/08\/05\/determining-tax-residency-of-a-company\/","title":{"rendered":"Determining Tax Residency of a Company"},"content":{"rendered":"\n

On or about 5 August 2019, the Inland Revenue Authority of Singapore (IRAS) has updated the content in its website on determining the tax residence of foreign-owned investment holding companies.<\/p>\n\n\n\n

A company is either a tax resident or a non-resident of Singapore. In\n Singapore, the tax residency of a company is determined by the place in which the business is controlled and managed<\/strong>. <\/p>\n\n\n\n

Generally, a company will be considered to be a Singapore tax resident for a particular Year of Assessment (YA) if the control and management of its business was exercised in Singapore in the preceding calendar year.<\/p>\n\n\n\n

Foreign-owned investment holding companies with purely passive sources of income or receiving only foreign-sourced income are generally regarded as non-residents as they usually act on the instructions of its foreign companies or shareholders.<\/p>\n\n\n\n

However, they may still be considered as Singapore tax residents if they can satisfy the IRAS that certain conditions have been met. <\/p>\n\n\n\n

For details on the conditions, please visit IRAS website on \u201cApplying for COR for Foreign-Owned Investment Holding Companies\u201d. <\/p>\n\n\n\n

Examples of some scenarios whereby the control and management of a business is considered to be not exercised in Singapore, include but are not limited to:<\/p>\n\n\n\n

  1. There is no board of directors meeting held in Singapore. Instead, the\ndirectors\u2019 resolutions are merely passed by circulation <\/li>
  2. The local director is a nominee director while the rest of the directors are\nbased outside Singapore<\/li>
  3. No strategic decision made by the local director in Singapore<\/li>
  4. No key employees are based in Singapore<\/li><\/ol>\n\n\n\n

    Source: IRAS website, 5 August 2019.<\/p>\n","protected":false},"excerpt":{"rendered":"

    On or about 5 August 2019, the Inland Revenue Authority of Singapore (IRAS) has updated the content in its website on determining the tax residence of foreign-owned investment holding companies. A company is either a tax resident or a non-resident of Singapore. In Singapore, the tax residency of a company is determined by the place […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","_et_pb_use_builder":"off","_et_pb_old_content":"","_et_gb_content_width":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,6],"tags":[],"class_list":["post-1289","post","type-post","status-publish","format-standard","hentry","category-incometax","category-techupdates"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/1289","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/comments?post=1289"}],"version-history":[{"count":1,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/1289\/revisions"}],"predecessor-version":[{"id":1290,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/1289\/revisions\/1290"}],"wp:attachment":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/media?parent=1289"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/categories?post=1289"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/tags?post=1289"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}