3 February 2014

The Inland Revenue Authority of Singapore (IRAS) issued the second edition of the e-Tax Guide “GST: General Guide for Businesses” on 28 January 2014. The first edition was published on 31 December 2013.

The second edition includes a new paragraph 6.1.4 to inform taxpayers about the new administrative concession for entertainment expense input tax claims.

The new administrative concession allows businesses to claim the input tax incurred for business entertainment expenses using a simplified tax invoice, if they do not hold a tax invoice for purchase value (including GST) exceeding S$1,000. The concession is however applicable only to food and drinks, and provided that the business maintain alternative documentary payment evidence and information on entertainment details, such as the name of person entertained, purpose of entertainment, person incurring the expenses, etc to support its claim. In the event that the expense comprises of items other than food and drinks (for example, rental of venue), a proper tax invoice is still required to support the full claim. This concession will take effect from 1 February 2014 based on the date shown in the simplified tax invoice.

The e-Tax Guide is available on the IRAS website.

Source: Inland Revenue Authority of Singapore