Long Title

Enacting Formula

New section 13Y
10.  The principal Act is amended by inserting, immediately after section 13X, the following section:
Exemption of certain income of prescribed sovereign fund entity and approved foreign government-owned entity
13Y.
—(1)  There shall be exempt from tax such income as the Minister may by regulations prescribe of —
(a)
a prescribed sovereign fund entity arising from its funds that are managed in Singapore by an approved foreign government-owned entity; and
(b)
an approved foreign government-owned entity arising from its funds that are managed in Singapore, and from managing in Singapore the funds of a prescribed sovereign fund entity.
(2)  The Minister or such person as he may appoint may, at any time between 1st April 2010 and 31st March 2015 (both dates inclusive), approve a foreign government-owned entity for the purpose of subsection (1).
(3)  Regulations made under subsection (1) may —
(a)
provide for the period of each approval, and conditions to which the exemption from tax under that subsection is subject;
(b)
provide for the determination of the amount of income of a prescribed sovereign fund entity or an approved foreign government-owned entity that is exempt from tax;
(c)
provide for the deduction of expenses, allowances, losses and donations of a prescribed sovereign fund entity or an approved foreign government-owned entity otherwise than in accordance with this Act; and
(d)
make provision generally for giving full effect to or for carrying out the purposes of this section.
(4)  In this section —
“foreign government-owned entity” means an entity wholly and beneficially owned, whether directly or indirectly, by the government of a foreign country and whose principal activity is to manage its own funds or the funds of a prescribed sovereign fund entity;
“prescribed sovereign fund entity” means a sovereign fund entity that satisfies such conditions as may be prescribed;
“sovereign fund entity” means the government of a foreign country or an entity wholly and beneficially owned by such government, whose funds (which may include the reserves of that government and any pension or provident fund of that country) are managed by an approved foreign government-owned entity.”.