en de es fr it pt zh-CN Find us on Twitter Find us on LinkedIn

Singapore To Enforce New Top Income Tax Rate

The Inland Revenue Authority of Singapore is to closely monitor company formation behavior to ensure that high income earners do not set up companies to avoid the higher personal income tax (PIT) rates announced in the 2015/16 Budget.

The Senior Minister of State for Finance and Transport, Josephine Teo, announced the initiative when delivering the Ministry of Finance Committee of Supply Speech on March 9. She was replying to comments that the higher PIT rates, including a 22 percent top rate (compared with the previous highest rate of 20 percent), could result in lower tax receipts.

Commenting on concerns that high-income earners could attempt to pay Singapore's lower 17 percent corporate income tax instead, she made it clear that IRAS 'takes the evasion of tax seriously' and will closely monitor the future establishment of companies.

She confirmed that in cases where companies are being set up mainly to avoid PIT, the approach of IRAS is 'to disregard the corporate structure and assess the income on the individuals,' and that 'the agency will step up its audit programs to detect and deter tax avoidance and evasion.'


Quantum Auditors & 123 Consulting joins TGS Global Network

TGS are proud to be in South Africa with our most recent member, Quantum Auditors / 1.2.3. Consulting. With offices situ

Read more >

Massie Turcotte joins TGS Global Network

TGS are proud to announce a new member in Canada.   Massie Turcotte gives TGS a presence that stands out from other

Read more >

PGK Consultores joins TGS Global Network

TGS is delighted to announce the membership of PGK Consultores, Argentina. PGK is a dynamic firm whose partners began th

Read more >

Garssa Consulting has joined the TGS Global Network

TGS welcome Garssa Consulting to TGS. In 2012, Garssa Consulting saw a gap in the Colombian market and established a hig

Read more >

Nakamoto & Company has joined the TGS Global Network

We are delighted to welcome our first Japanese member firm, Nakamoto & Company / Nakamoto International Tax Corporat

Read more >