{"id":859,"date":"2018-11-14T08:00:45","date_gmt":"2018-11-14T00:00:45","guid":{"rendered":"http:\/\/ehluar.com\/main\/?p=859"},"modified":"2018-11-14T08:17:41","modified_gmt":"2018-11-14T00:17:41","slug":"income-tax-amendment-act-2018","status":"publish","type":"post","link":"http:\/\/ehluar.com\/main\/2018\/11\/14\/income-tax-amendment-act-2018\/","title":{"rendered":"Income Tax (Amendment) Act 2018"},"content":{"rendered":"<p class=\"hP\"><span style=\"color: #000000;\">On 12 November 2018, the <i>Income Tax (Amendment) Act 2018<\/i> was gazetted and published in the electronic gazette.<\/span><\/p>\n<p class=\"hP\"><span style=\"color: #000000;\">These legislative amendments is to effect changes announced in Budget 2018: changes arising from the periodic review of the income tax system and changes to strengthen law enforcement.<\/span><\/p>\n<p><span style=\"color: #000000;\"><strong>The enhancement and extension of the Corporate Income Tax (CIT) rebate<\/strong><\/span><\/p>\n<p><span style=\"color: #000000;\">The CIT rebate is to ease business costs and support restructuring by the companies. Changes to the CIT rebate are as follows:<\/span><\/p>\n<p><span style=\"color: #000000;\">YA 2018 &#8211; Companies will be enhanced to 40% of tax payable, subject to a cap of $15,000 (increased from the previous announced rebate of 20% of tax payable)<\/span><\/p>\n<p><span style=\"color: #000000;\">YA 2019 &#8211; Companies will be extended to YA 2019, at a rate of 20% of tax payable, caped at $10,000<\/span><\/p>\n<p><span style=\"color: #000000;\"><strong>Adjustments to the Start-Up Tax Exemption Scheme (SUTE) and the Partial Tax Exemption Scheme (PTE) from YA 2020<\/strong><\/span><\/p>\n<p><span style=\"color: #000000;\">The SUTE was first introduced in YA 2005 to support entrepreneurship and help local enterprises to grow. The tax exemption under the scheme will be revised.<\/span><\/p>\n<p style=\"padding-left: 30px;\"><span style=\"color: #000000;\"><strong>YA 2019 and before<\/strong><\/span><\/p>\n<ul>\n<li><span style=\"color: #000000;\">Full exemption on the first $100,000 of normal chargeable income (income that are subject to tax at the prevailing rate); and<\/span><\/li>\n<li><span style=\"color: #000000;\">\u00a0A further 50% exemption on the next $200,000 of normal chargeable income.<\/span><\/li>\n<\/ul>\n<p style=\"padding-left: 30px;\"><span style=\"color: #000000;\"><b>From YA 2020 <\/b><\/span><\/p>\n<ul>\n<li><span style=\"color: #000000;\">75% exemption on the first $100,000 of normal chargeable income; and<\/span><\/li>\n<li><span style=\"color: #000000;\">A further 50% exemption on the next $100,000 of normal chargeable income.<\/span><\/li>\n<\/ul>\n<p><span style=\"color: #000000;\"><strong>The enhancement of the Double Tax Deduction for Internationalisation (\u201cDTDi\u201d) scheme.<\/strong><\/span><\/p>\n<p><span style=\"color: #000000;\">DTDi is to support activities across key stages of a company&#8217;s overseas growth journey, including market presence, market promotion, market exploration and market preparation.<\/span><\/p>\n<p><span style=\"color: #000000;\">Since 1 April 2012 (to 31 March 2020), businesses may claim automatic double tax deduction on qualifying expenses incurred under Section 14B and 14K up to $100,000 per YA.<\/span><\/p>\n<p><span style=\"color: #000000;\">From YA 2019 to 31 March 2020, this specified expenditure cap for Automatic DTDi is raised from $100,000 to $150,000.<\/span><\/p>\n<p class=\"hP\"><span style=\"color: #000000;\"><strong>The enhancement and expansion of IRAS&#8217;s powers to investigate serious tax crimes<\/strong><\/span><\/p>\n<p class=\"hP\"><span style=\"color: #000000;\">To deal with fraud syndicates and recalcitrant taxpayers more effectively:<\/span><\/p>\n<ul>\n<li class=\"hP\"><span style=\"color: #000000;\">The tax enforcement officers are given more powers to investigate serious tax crimes, or where the suspect attempts to destroy evidence, the (a) powers to enter premises forcibly, (b) power to arrest without warrant and (c) power to conduct body searches, with proper safeguards.<\/span><\/li>\n<li><span style=\"color: #000000;\">Align penalties for persons who obstruct investigations under the ITA and GST Act.<\/span><\/li>\n<li><span style=\"color: #000000;\">Expand IRAS&#8217;s powers to gather all information that is relevant to its investigations from a person.<\/span><\/li>\n<\/ul>\n<p class=\"hP\"><span style=\"color: #000000;\">Source: <em>IRAS<\/em>, 14 November 2018<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>On 12 November 2018, the Income Tax (Amendment) Act 2018 was gazetted and published in the electronic gazette. These legislative amendments is to effect changes announced in Budget 2018: changes arising from the periodic review of the income tax system and changes to strengthen law enforcement. The enhancement and extension of the Corporate Income Tax [&hellip;]<\/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":"","_et_pb_old_content":"","_et_gb_content_width":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[9,8,6],"tags":[],"class_list":["post-859","post","type-post","status-publish","format-standard","hentry","category-gst","category-incometax","category-techupdates"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/859","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=859"}],"version-history":[{"count":3,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/859\/revisions"}],"predecessor-version":[{"id":863,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/posts\/859\/revisions\/863"}],"wp:attachment":[{"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/media?parent=859"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/categories?post=859"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/ehluar.com\/main\/wp-json\/wp\/v2\/tags?post=859"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}