11 August 2015

IRAS has updated its website content of the Frequently Asked Questions (FAQ) under the Productivity and Innovation Scheme (PIC)’s qualifying activities of training expenditure.

PIC benefits can be claimed on costs incurred to provide training to employees for the purposes of trade and business. Training may refer to external training and in-house training.

IRAS has clarified through the FAQ that PIC benefits will be granted on the full qualifying expenditure incurred in each YA up to the expenditure cap.

The full combined expenditure cap must be claimed if the taxpayer incurred qualifying costs that are equal to or in excess of the combined expenditure cap in a particular YA.

Should the combined expenditure cap be reached in that YA, the taxpayer cannot claim PIC benefits on that training expenditure in the subsequent YAs.

The update was made on 30 July 2015.

For further details, please refer to the IRAS website.

Source: IRAS