Category: Reminders

FATCA Return submission due for Reporting Year 2016

On By taxsgIn General News, Reminders

17 March 2017

Under the FATCA regulations, a Reporting Singapore-based Financial Institution (SGFI) is required to submit a FATCA return in relation to every US reportable account it maintains on or before 31 May of the year following the calendar year to which the return relates.

The return will include information on every US Reportable Account that is maintained in calendar year 2016, and all payments made to each nonparticipating financial institution (nonparticipating FFIs) in calendar year 2016.

A Reporting SGFI that did not maintain any US Reportable Accounts or make payment to nonparticipating FFIs in 2016 is required to submit a Paper Nil return to IRAS. IRAS has advised that the  Paper Nil Return is available for download from 3 April 2017.

Filing for FATCA returns for reporting year 2016 will commence on 15 April 2017. SGFIs are required to submit the return to IRAS by 31 May 2017.

Source: IRAS

Reminder: CPF contributions for employees to be made by 16 January 2017 to receive WCS payouts

On By taxsgIn General News, Reminders

13 January 2017

In order to receive the fourth tranche of Wage Credit Scheme (WCS) payouts in March 2017, employers of eligible Singaporean employees are to make the mandatory full CPF contributions by 16 January 2017.

Additionally, a wage increase of at least $50 must have been given in 2016 to Singaporean employees and/or sustained the wage increases (of at least $50) previously given in 2015.

The Inland Revenue Authority of Singapore (IRAS) will be notifying eligible employers by March 2017 of the amount of WCS payout. Payouts will be in the form of cheques or credited directly into the employers’ bank accounts.

The WCS forms part of the Transition Support Package announced in Budget 2013, which has since been extended until 2017 whereby the Government co-funds 20% of the wage increases given to Singaporean employees earning a gross monthly wage of $4,000 and below.

Source: IRAS

 

Changes in PIC wef 1 August 2016 – cash payout rate and compulsory e-filing of applications

On By taxsgIn Corporate Tax, Latest Tax News, Reminders

26 July 2016

The Inland Revenue Authority of Singapore (IRAS) has issued a reminder on its website on the change in cash payout rate of the Productivity and Innovation Credit (PIC) scheme, as well as on the removal of hardcopy filing of the cash payout applications.

With effect from 1 August 2016, the Productivity and Innovation Credit (PIC) cash payout rate will be at 40% instead of 60% of qualifying expenditure subject to a total expenditure cap of $100,000 across the six qualifying activities.

For PIC-qualifying expenditure incurred before 1 August 2016, the 60% cash payout rate will still apply regardless of PIC cash payout applications submitted on or after 1 August 2016.

Further from 1 August 2016, IRAS will only accept e-filing of cash payout applications.

The e-filing deadlines for YA 2017 PIC cash payout applications are:

  • Sole-proprietors and partnerships – by 18 April 2017
  • Companies –15 December 2017

For further details, please refer to the IRAS website.

Source: IRAS

WCS payouts: Reminder to make CPF contributions by 14 January 2016

On By taxsgIn Corporate Tax, Latest Tax News, Reminders

7 January 2016

In order to receive the third tranche of Wage Credit Scheme (WCS) payouts in March 2016, employers of eligible Singaporean employees are reminded to make the full CPF contributions for these employees by 14 January 2016.

Qualifying conditions for receipt of the third tranche of the WCS payout are:

  • Singaporean employees’ wages increased by at least $50 in 2015 and/or sustained the wage increases (at least $50) previously given to employees in 2014 and 2013; and
  • Payment of the employees’ mandatory CPF contributions for 2015 wages to CPF Board by 14 January 2016.

The Inland Revenue Authority of Singapore (IRAS) will send out letters to qualifying employers to inform them of their total payout by March 2016.  The WCS payout will be made via direct credit to their GIRO bank account used for income tax and goods and services tax (GST) purposes, or by cheque.

The WCS was introduced in Budget 2013 as part of the 3-year transition support package to help businesses cope with rising wage costs. From 2013 to 2015, the Government will co-fund 40% of wage increases given to Singaporean employees earning a gross monthly wage of S$4,000 and below.

Since then, the WCS has been extended for two more years, i.e. 2016 to 2017, to allow businesses to adjust to rising wages.

Source: IRAS, Ministry of Finance (MOF)

Advance Export Declaration reminder

On By taxsgIn General News, Reminders

29 March 2013

Singapore Customs (SC) has issued a reminder to traders and declaring agents that Advance Export Declaration (AED) will be implemented from 1 April 2013 with an 18-month adjustment period.

SC requires all declarations to be be submitted before goods are exported. The export permit for non controlled or non dutiable goods should be applied any time before export, prior to cargo arrival at port gates or cargo lodgement with Ground Handling Agents (GHAs), and not necessarily three days before export. If the export declaration has not been declared prior to cargo arrival at port gates or cargo lodgement with GHAs, the cargo may be subjected to checks.

In conjunction with AED implementation, traders and declaring agents can now submit amendments via TradeNet to update the previously approved Export Permit with Certificate of Origins (CO) applications.

Details on AED implementation, including FAQs on cargo movement procedures and CO applications, can be found on Singapore Customs website.

Source: Singapore Customs