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Contents  

Long Title

Part I PRELIMINARY

Part II ADMINISTRATION

Part III IMPOSITION OF INCOME TAX

Part IV EXEMPTION FROM INCOME TAX

Part V DEDUCTIONS AGAINST INCOME

Part VI CAPITAL ALLOWANCES

Part VII ASCERTAINMENT OF CERTAIN INCOME

Part VIII ASCERTAINMENT OF STATUTORY INCOME

Part IX ASCERTAINMENT OF ASSESSABLE INCOME

Part X ASCERTAINMENT OF CHARGEABLE INCOME AND PERSONAL RELIEFS

Part XI RATES OF TAX

Part XII DEDUCTION OF TAX AT SOURCE

Part XIII ALLOWANCES FOR TAX CHARGED

Part XIV RELIEF AGAINST DOUBLE TAXATION

Part XV PERSONS CHARGEABLE

Husband and wife

Trustees, agents and curators

Part XVI RETURNS

Part XVII ASSESSMENTS AND OBJECTIONS

Part XVIII APPEALS

Part XIX COLLECTION, RECOVERY AND REPAYMENT OF TAX

Part XX OFFENCES AND PENALTIES

Part XXA EXCHANGE OF INFORMATION UNDER AVOIDANCE OF DOUBLE TAXATION ARRANGEMENTS AND EXCHANGE OF INFORMATION ARRANGEMENTS

Part XXB INTERNATIONAL AGREEMENTS TO IMPROVE TAX COMPLIANCE

Part XXI MISCELLANEOUS

FIRST SCHEDULE Institution, authority, person or fund exempted

SECOND SCHEDULE Rates of tax

THIRD SCHEDULE Repealed

FOURTH SCHEDULE Name of bond, securities, stock or fund

FIFTH SCHEDULE Child relief

SIXTH SCHEDULE Number of years of working life of asset

SEVENTH SCHEDULE Advance rulings

EIGHTH SCHEDULE Information to be included in a request for information under Part XXA

Legislative History

Comparative Table

Comparative Table

 
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PART XII
DEDUCTION OF TAX AT SOURCE
44.  [Repealed by Act 19 of 2013]
44A.  [Repealed by Act 19 of 2013]
Withholding of tax in respect of interest paid to non-resident persons
45.
—(1)  Where a person is liable to pay to another person not known to him to be resident in Singapore any interest which is chargeable to tax under this Act, the person paying the interest shall —
(a)
deduct therefrom tax —
(i)
where the person to be paid is an individual or a Hindu joint family, at the rate of 22%;
[Act 2 of 2016 wef 01/01/2016]
(ii)
where the person to be paid is any other person, at the rate of 17%; or
(iii)
where section 43(3) or (3A) is applicable to the person to be paid, at the rate specified in that provision,
on every dollar of the interest; and
(b)
immediately give notice of the deduction of tax and pay to the Comptroller the amount so deducted,
[Act 2 of 2016 wef 01/07/2016]
and every such amount deducted shall be a debt due from him to the Government and shall be recoverable in the manner provided by section 89.
[37/75; 31/86; 1/90; 20/91; 28/92; 26/93; 28/96; 24/2001; 37/2002; 49/2004; 53/2007; 27/2009]
(1A)  Notwithstanding subsection (1), tax shall be deducted at the rate of 18% on every payment (other than payment subject to tax at the rate specified in section 43(3) or (3A)) made on or after 1st January 2009 which would be assessable on the person receiving the payment for the year of assessment 2009.
[27/2009]
(1B)  The notice under subsection (1)(b) must be given using the electronic service, except that the Comptroller may in any particular case or class of cases permit the notice to be given in any other manner.
[Act 2 of 2016 wef 01/07/2016]
(1C)  The Minister may, by rules made under section 7, substitute the rate in subsection (1)(a)(i), (ii) or (iii) with a higher or lower rate (including 0%) for any person or class of persons that is or are subject to that subsection, and subsection (1) applies to that person or class of persons accordingly.
[Act 34 of 2016 wef 29/12/2016]
(1D)  The rules mentioned in subsection (1C) may —
(a)
provide that the substitute rate applies only if such conditions as may be specified in the rules are satisfied; and
(b)
prescribe different substitute rates for different persons or classes of persons.
[Act 34 of 2016 wef 29/12/2016]
(2)  The Comptroller may —
(a)
if he thinks fit, allow any person or class of persons to give notice of the deduction of tax and make payment of the amount so deducted within such other period and subject to such conditions as the Comptroller may determine; and
[Act 34 of 2016 wef 29/12/2016]
(b)
by notice in writing require any person who pays such interest to deduct and account for tax at a higher or lower rate than the rate in subsection (1)(a)(i), (ii) or (iii), or the rate prescribed by rules mentioned in subsection (1C) in substitution for that rate, as the case may be, on every dollar of such interest or permit such interest to be paid without deduction of tax.
[1/90; 20/91; 28/92; 26/93; 28/96; 24/2001; 37/2002; 49/2004; 53/2007; 27/2009]
[Act 2 of 2016 wef 01/01/2016]
[Act 34 of 2016 wef 29/12/2016]
(3)  Where a person fails to make a deduction of tax which he is required to make under subsection (1), any amount which he fails to deduct shall be a debt due from him to the Government and shall be recoverable as such.
(4)  If the amount of tax which is required to be deducted under subsection (1) is not paid to the Comptroller —
(a)
by the 15th day of the second month following the month in which the interest from which the tax is to be deducted is paid, or such other date as may be allowed under subsection (2)(a), a sum equal to 5% of such amount of tax shall be payable; and
[Act 34 of 2016 wef 29/12/2016]
(b)
within 30 days after the time specified in paragraph (a), an additional penalty of 1% of such amount of tax shall be payable for each completed month that the tax remains unpaid, but the total additional penalty under this paragraph shall not exceed 15% of the amount of tax outstanding.
[26/93; 21/2003; 29/2012]
(5)  Without prejudice to any other provision of this Act, if any person after deducting the tax required to be deducted under subsection (1) fails to give notice of such deduction to the Comptroller in the manner referred to in subsection (1B) and by the time specified in subsection (4)(a), he shall be guilty of an offence and shall on conviction pay a penalty equal to 3 times the amount of tax so deducted and shall also be liable to a fine not exceeding $10,000 or to imprisonment for a term not exceeding 3 years or to both.
[26/93; 21/2003]
[Act 2 of 2016 wef 01/07/2016]
(6)  Where an individual has been convicted for 3 or more offences under this section, the imprisonment he shall be liable to shall be not less than 6 months.
(7)  The Comptroller may —
(a)
compound an offence under subsection (5) and may before judgment stay or compound any proceedings thereunder; and
(b)
for any good cause remit the whole or any part of the penalty payable under subsection (4).
(8)  For the purposes of this section —
(a)
the manager or principal officer of a company shall be answerable for doing all such acts, matters and things as are required to be done by the company under this section; and
(b)
interest shall be deemed to have been paid by a person to another person although it is not actually paid over to the other person but is reinvested, accumulated, capitalised, carried to any reserve or credited to any account however designated, or otherwise dealt with on behalf of the other person.
(9)  This section shall not apply to —
(a)
any interest derived from any qualifying debt securities issued during the period from 27th February 1999 to 31st December 2018 (both dates inclusive), subject to such conditions as the Minister may impose;
[Act 37 of 2014 wef 27/11/2014]
(b)
any interest derived from any qualifying project debt securities issued during the period from 1st November 2006 to 31st March 2017 (both dates inclusive), subject to such conditions as the Minister may impose;
[53/2007; 34/2008; 22/2011; 19/2013]
[Act 37 of 2014 wef 21/02/2014]
[Act 37 of 2014 wef 27/11/2014]
(c)
any interest liable to be paid on or after 21st February 2014 by a person to a branch in Singapore of a company incorporated outside Singapore and not known to him to be resident in Singapore.
[Act 37 of 2014 wef 21/02/2014]
(10)  In this section, “qualifying debt securities” and “qualifying project debt securities” have the same meanings as in section 13(16).
[53/2007]
Application of section 45 to royalties, management fees, etc.
45A.
—(1)  Section 45(1) to (8) shall apply in relation to the payment of any income referred to in section 12(6) or (7) by any person to another person not known to him to be resident in Singapore as those provisions apply to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in those provisions to interest shall be construed as a reference to the income referred to in section 12(6) or (7).
[5/77; 1/88; 49/2004]
(2)  Subject to such conditions as the Minister may impose, subsection (1) shall not apply to any discount from —
(a)
any qualifying debt securities issued during the period from 27th February 2004 to 16th February 2006 (both dates inclusive) which mature within one year from the date of issue of those securities; or
[Act 37 of 2014 wef 27/11/2014]
(b)
any qualifying debt securities issued during the period from 17th February 2006 to 31st December 2018 (both dates inclusive).
[7/2007; 34/2008; 19/2013]
[Act 37 of 2014 wef 27/11/2014]
(2A)  Subsection (1) shall not apply to any amount payable from any Islamic debt securities which are qualifying debt securities, and issued during the period from 1st January 2005 to 31st December 2018 (both dates inclusive), subject to such conditions as the Minister may impose.
[34/2005; 34/2008; 19/2013]
[Act 37 of 2014 wef 27/11/2014]
(2B)  Subject to such conditions as the Minister may impose, subsection (1) shall not apply to —
(a)
any prepayment fee, redemption premium or break cost from any qualifying debt securities issued during the period from 15th February 2007 to 31st December 2018 (both dates inclusive); or
[Act 37 of 2014 wef 27/11/2014]
(b)
any discount, prepayment fee, redemption premium or break cost from any qualifying project debt securities issued during the period from 15th February 2007 to 31st March 2017 (both dates inclusive).
[53/2007; 34/2008; 22/2011; 19/2013]
[Act 37 of 2014 wef 27/11/2014]
(2C)  Subject to such conditions as the Minister may impose, subsection (1) shall not apply to —
(a)
such other income directly attributable to any qualifying debt securities issued on or after a prescribed date, as may be prescribed by regulations; or
(b)
such other income directly attributable to any qualifying project debt securities issued on or after a prescribed date, as may be prescribed by regulations.
[53/2007]
(2D)  Subsection (1) shall not apply to any payment liable to be made on or after 17th February 2012 under any agreement or arrangement for the charter of any ship.
[29/2012]
(2E)  Subsection (1) shall not apply to any payment liable to be made on or after 21st February 2014 by a person to a branch in Singapore of a company incorporated outside Singapore and not known to him to be resident in Singapore.
[Act 37 of 2014 wef 21/02/2014]
(3)  In this section —
“break cost”, “prepayment fee”, “qualifying debt securities”, “qualifying project debt securities” and “redemption premium” have the same meanings as in section 13(16);
“Islamic debt securities” has the same meaning as in section 43N(4);
[34/2005; 53/2007]
[Act 2 of 2016 wef 11/04/2016]
“ship” has the same meaning as in section 2(1) of the Merchant Shipping Act.
[Act 2 of 2016 wef 11/04/2016]
Tax deemed withheld and recoverable from person in breach of condition imposed under section 13(4)
45AA.
—(1)  Where a person has contravened any condition imposed by the Minister pursuant to a notification made under section 13(4) (whether a condition precedent or a condition subsequent), the amount of tax which, but for that notification, would have been deductible by the person from payments made by it to a non-resident person under section 45 or 45A —
(a)
shall be deemed to have been deducted from those payments;
(b)
shall be a debt due from the first-mentioned person to the Government; and
(c)
shall be recoverable in the manner provided by section 89.
[22/2011]
(2)  The amount recoverable under subsection (1) shall be payable at the place stated in a notice served by the Comptroller on the person within one month after the service of the notice.
[22/2011]
(3)  The Comptroller may, in his discretion and subject to such conditions (including the imposition of interest) as he may impose, extend the time limit within which payment under subsection (2) is to be made.
[22/2011]
(4)  If the amount recoverable under subsection (1) is not paid to the Comptroller —
(a)
within the period referred to in subsection (2) or such further period as may be allowed under subsection (3), a sum equal to 5% of such amount shall be payable; and
(b)
within 30 days after the time specified in paragraph (a), an additional penalty of 1% of such amount shall be payable for each completed month that such amount remains unpaid, but the total additional penalty under this paragraph shall not exceed 15% of such amount.
[22/2011]
(5)  The penalty shall be recoverable in the manner provided in section 89.
[22/2011]
(6)  The Comptroller may for any good cause remit the whole or any part of the penalty payable under subsection (4).
[22/2011]
(7)  The Minister may, subject to such conditions as he may determine, remit the whole or any part of the amount recoverable under subsection (1).
[22/2011]
(8)  If any condition referred to in subsection (7) is breached, then the amount remitted shall be a debt due from the person granted the remission to the Government and shall be recoverable in the manner provided by section 89; and subsections (2) to (6) shall apply accordingly.
[22/2011]
Application of section 45 to non-resident director’s remuneration
45B.
—(1)  Section 45 shall apply in relation to the payment of any remuneration by a company to any director of the company who is not resident in Singapore as those provisions apply to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in those provisions to interest shall be construed as a reference to such remuneration.
[7/79]
(2)  For the purposes of this section, the references to interest therein shall be read as references to interest which is subject to deduction of tax at the rate of 22% on every dollar of the interest.
[28/96; 24/2001; 37/2002; 49/2004]
[Act 2 of 2016 wef 01/01/2016]
[Act 2 of 2016 wef 11/04/2016]
Application of section 45 to distribution by unit trust
45C.
—(1)  Section 45 shall apply in relation to any distribution made by a unit trust which is deemed to be income under section 10(19), (20) and (21) as that section applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such distribution.
[23/90; 32/95]
(2)  Subsection (1) shall not apply to any distribution which is made on or after 28th February 1998 by a designated unit trust referred to in section 35(12).
[31/98]
[Act 37 of 2014 wef 01/09/2014]
(3)  Subsection (1) shall not apply to any distribution made on or after 1st January 2015 by a unit trust to a branch in Singapore of a company incorporated outside Singapore and not known to the trustee of the unit trust to be resident in Singapore.
[Act 37 of 2014 wef 01/01/2015]
Application of section 45 to gains from real property transaction
45D.
—(1)  Where any person whose income arising from the disposal of any real property is chargeable to tax under section 10(1)(a) is a non-resident person, any designated person shall, before paying to the non-resident person any money which is the whole or part of the consideration for the disposal of the real property, notwithstanding any other written law, immediately deduct therefrom tax at the rate of 15% on every dollar of such payment.
[37/2002]
(2)  Any designated person who has deducted any money under subsection (1) shall immediately give notice of the deduction of tax to the Comptroller and shall, notwithstanding any other written law, pay the amount so deducted to the Comptroller by the 15th day of the second month following the month in which the deduction was made and every such amount shall be a debt due from him to the Government and shall be recoverable in the manner provided under section 89.
[37/2002; 21/2003; 29/2012]
[Act 2 of 2016 wef 01/07/2016]
(2A)  The notice under subsection (2) must be given using the electronic service, except that the Comptroller may in any particular case or class of cases permit the notice to be given in any other manner.
[Act 2 of 2016 wef 01/07/2016]
(3)  Section 45(2) to (8) shall apply, with the necessary modifications, to any designated person as those provisions apply to any person referred to therein.
[37/2002]
(4)  For the purpose of payment of any tax due from any income which is chargeable to tax under section 10(1)(a) in respect of any disposal of any real property which is owned by 2 or more persons as joint owners, the designated person deducting the tax shall retain such amount as is presumed under subsection (5) to be owned by any non‑resident person and pay over the tax due from such amount to the Comptroller.
[37/2002]
(5)  It shall be presumed, until the contrary is proved, that the persons who own any real property as joint owners shall share the proceeds of disposal of the real property in equal shares.
[37/2002]
(5A)  This section shall not apply to any payment made on or after 1st January 2015 by a designated person to a branch in Singapore of a company incorporated outside Singapore and is a non-resident person.
[Act 37 of 2014 wef 01/01/2015]
(6)  In this section —
“designated person”, in relation to any disposal of any real property —
(a)
in the case where an advocate and solicitor acts for the buyer of the real property in such disposal, means that advocate and solicitor; and
(b)
in any other case, means the buyer of the real property;
“land” includes land of any tenure wherever situated in Singapore, whether or not held apart from the surface, and buildings or parts thereof (whether completed or otherwise and whether divided horizontally, vertically or in any other manner) and tenements and hereditaments, corporeal and incorporeal, and any estate or interest therein;
“non-resident person” means a person who is not known to be resident in Singapore to the designated person;
“real property”, in relation to a disposal of which the income is chargeable to tax under section 10(1)(a), means any land and any interest, option or other right in or over any land.
[37/2002]
Application of section 45 to withdrawals by non-citizen SRS members, etc.
45E.
—(1)  Subject to subsections (2) and (2A), section 45 shall apply in relation to —
(a)
any withdrawal made —
(i)
under section 10L or after the balance (excluding any life annuity) remaining in the SRS account is deemed withdrawn under section 10L(6) or (7) by an SRS member who is not a citizen of Singapore from his SRS account; or
(ii)
after the sum standing in the SRS account is deemed withdrawn under section 10L(9) by the legal personal representative of a deceased SRS member who is not a citizen of Singapore from the SRS account,
as that section applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such withdrawal from the SRS account; and
(b)
any payment of any penalty under section 10L(2) which is imposed on any SRS member and paid by an SRS operator to the Comptroller as that section applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purposes of such application, any reference in that section to interest payable shall be construed as a reference to the penalty so payable by the SRS operator to the Comptroller.
[24/2001]
[Act 2 of 2016 wef 01/07/2016]
(2)  For the purpose of subsection (1)(a), where a withdrawal is made —
(a)
under section 10L(3) or (8) or after the balance (excluding any life annuity) remaining in the SRS account is deemed withdrawn under section 10L(6) or (7) by an SRS member; or
(b)
after the sum standing in the SRS account is deemed withdrawn under section 10L(9),
section 45 shall apply only in relation to 50% of the amount withdrawn from the SRS account.
[24/2001]
(2A)  For the purposes of subsection (1)(a), where a withdrawal of all the funds standing in the SRS account of an SRS member is made on the ground in section 10L(3G), section 45 applies only in relation to an amount determined in the following manner:
where A
is the amount of funds withdrawn from the SRS account on that ground;
B
is the total value of the investment that is deducted from the balance in the SRS account (if any) on that ground; and
C
is the amount of the SRS member’s income chargeable to tax under section 10(1)(g) as determined under section 10L(3G).
[Act 2 of 2016 wef 01/07/2016]
(2B)  In subsection (2A) —
(a)
the reference to a deduction of an investment from the balance in an SRS account is to be construed in accordance with section 10L(3F); and
(b)
the value of such investment is determined in accordance with the regulations made under section 10L(11).
[Act 2 of 2016 wef 01/07/2016]
(3)  For the purposes of this section, the amount to be deducted under section 45 in respect of withdrawals from the SRS account of an SRS member —
(a)
under subsection (1)(a), shall be the amount computed based on the rate of 22%; and
[Act 2 of 2016 wef 01/01/2016]
(b)
under subsection (1)(b), shall be the total penalty deducted by the SRS operator from the amount so withdrawn from the SRS account.
[24/2001]
(4)  Subject to subsection (5), this section shall not apply to any withdrawal by an SRS member who is not a citizen of Singapore if the amount of withdrawal from his SRS account in any year does not exceed the amount of contribution to his SRS account in that year.
[24/2001; 37/2002]
(5)  Where a deduction for SRS contributions has been allowed in any year to an SRS member who is not a citizen of Singapore under an assessment made under section 73(1)(b) and within that year the SRS member applies to withdraw an amount up to the amount he has contributed in that year, the SRS operator shall release the amount applied to the SRS member after deducting tax at the rate of 22% on every dollar withdrawn.
[37/2002]
[Act 2 of 2016 wef 01/01/2016]
(6)  To avoid doubt, a reference to a withdrawal from an SRS account in this section is a reference to an actual withdrawal of funds, and excludes a deemed withdrawal of funds under section 10L(3E).
[Act 2 of 2016 wef 01/07/2016]
Approval of deduction of investment from SRS account of non-citizen
45EA.
—(1)  This section applies to an investment made using funds from an SRS account of an SRS member who is not a citizen of Singapore.
(2)  Before approving the deduction of the investment from the balance in the SRS account, an SRS operator shall comply with subsection (3), unless the Comptroller has waived such compliance by notice in writing to the SRS operator.
(3)  Subject to subsection (3A), the SRS operator shall collect from the SRS member or (if he is deceased) his legal personal representative tax at the rate of 22% on an amount that is equal to 50% of the total value of the investment to be deducted from the balance in the SRS account.
[Act 2 of 2016 wef 01/01/2016]
[Act 2 of 2016 wef 01/07/2016]
(3A)  If the deduction of the investment from the balance in the SRS account is to be made on the ground in section 10L(3G), the amount on which tax is to be collected under subsection (3) is determined in the following manner:
where A
is the amount of funds to be actually withdrawn from the SRS account on that ground (if any);
B
is the total value of the investment that is to be deducted from the balance in the SRS account; and
C
is the amount of the SRS member’s income chargeable to tax under section 10(1)(g) as determined under section 10L(3G).
[Act 2 of 2016 wef 01/07/2016]
(3B)  The Minister may, by rules made under section 7, substitute the rate in subsection (3) with a higher or lower rate (including 0%) for any SRS member or class of SRS members that is or are subject to that subsection, and subsection (3) applies to that SRS member or class of SRS members accordingly.
[Act 34 of 2016 wef 29/12/2016]
(3C)  The rules mentioned in subsection (3B) may —
(a)
provide that the substitute rate applies only if such conditions as may be specified in the rules are satisfied; and
(b)
prescribe different substitute rates for different SRS members or classes of SRS members.
[Act 34 of 2016 wef 29/12/2016]
(4)  In subsections (3) and (3A), the value of an investment shall be reckoned in accordance with the regulations made under section 10L(11).
[Act 2 of 2016 wef 01/07/2016]
(5)  If the Comptroller has given a written notice to the SRS operator requiring the SRS operator to collect tax at a higher or lower rate than 22% or the rate prescribed by the rules mentioned in subsection (3B) in substitution for it, then the reference to the rate of 22% or the substitute rate is a reference to the higher or lower rate.
[Act 2 of 2016 wef 01/01/2016]
[Act 34 of 2016 wef 29/12/2016]
(6)  The amount of tax collected under subsection (3) shall be a debt due from the SRS operator to the Government and shall be recoverable in the manner provided in section 89.
(7)  Where an SRS operator fails to collect the tax under subsection (3), the amount not collected shall be a debt due from the SRS operator to the Government and shall be recoverable in the manner provided in section 89.
(8)  If the amount of tax which is required to be collected under subsection (3) is not paid to the Comptroller —
(a)
by the 15th day of the second month following the month in which the date the SRS operator approves the deduction falls or by such later date as the Comptroller may allow, a sum equal to 5% of such amount of tax shall be payable; and
(b)
within 30 days after the time specified in paragraph (a), an additional penalty of 1% of such amount of tax shall be payable for each completed month that the tax remains unpaid, but the total additional penalty under this paragraph shall not exceed 15% of the amount of tax outstanding.
(9)  An SRS operator shall, after collecting the tax under subsection (3), give notice in writing of such collection to the Comptroller by the time specified in subsection (8)(a) and in the manner mentioned in subsection (9A), and if the SRS operator fails to do so, the SRS operator shall be guilty of an offence and shall on conviction pay a penalty equal to 3 times the amount of tax so collected and shall also be liable to a fine not exceeding $10,000.
[Act 34 of 2016 wef 29/12/2016]
(9A)  The notice under subsection (9) must be given using the electronic service, except that the Comptroller may in any particular case or class of cases permit the notice to be given in any other manner.
[Act 34 of 2016 wef 29/12/2016]
(10)  The Comptroller may —
(a)
compound an offence under subsection (9); and
(b)
for any good cause remit the whole or any part of the penalty payable under subsection (8).
(11)  In this section —
(a)
a reference to an SRS operator approving the deduction of an investment from the balance in an SRS account is a reference to the SRS operator approving the deduction of the sums representing the investment from the balance in the SRS account in accordance with the regulations made under section 10L(11); and
(b)
a reference to the date of approval by an SRS operator of a deduction of an investment from the balance in an SRS account is a reference to the date the SRS operator approves a deduction of the sums representing the investment from the balance in the SRS account in accordance with those regulations.
[Act 37 of 2014 wef 01/07/2015]
Application of section 45 to income from profession or vocation carried on by non-resident individual, etc.
45F.
—(1)  Subject to subsection (2), section 45 shall apply in relation to the payment of any income accruing in or derived from Singapore on or after 3rd May 2002 from —
(a)
any profession or vocation (other than that derived by any public entertainer as defined in section 40A) by any person to any individual referred to in section 43(4)(a) not known to him to be resident in Singapore; or
(b)
any profession or vocation by any person to any foreign firm referred to in section 43(4)(b),
as section 45 applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such payment.
[37/2002]
(2)  For the purpose of this section, the deduction of tax under section 45 shall be at the rate of 15%.
[37/2002]
Application of section 45 to distribution from any real estate investment trust
45G.
—(1)  Subject to subsections (2) and (3) and such conditions as the Comptroller may impose, section 45 shall apply in relation to any distribution by a trustee of any real estate investment trust —
(a)
to any person (other than an individual) not known to the trustee to be resident in Singapore to whom section 43(3B) applies; or
(b)
to any other person not known to the trustee to be —
(i)
an individual;
(ii)
a company incorporated and resident in Singapore;
(iii)
a branch in Singapore of a company incorporated outside Singapore that has obtained the Comptroller’s approval for distributions to be made by the trust to it without deduction of tax; or
(iv)
a body of persons incorporated or registered in Singapore, including a charity registered under the Charities Act (Cap. 37) or established by any written law, a town council, a statutory board, a co-operative society registered under the Co-operative Societies Act (Cap. 62) or a trade union registered under the Trade Unions Act (Cap. 333),
as that section applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such distribution.
[34/2005; 7/2007; 19/2013]
(2)  For the purpose of subsection (1)(a), the deduction of tax under section 45 shall be at the rate of 10% on every dollar of such distribution made during the period from 18th February 2005 to 31st March 2015 (both dates inclusive).
[34/2005; 29/2010]
[Act 37 of 2014 wef 27/11/2014]
(3)  For the purpose of subsection (1)(b), the deduction of tax under section 45 shall be at the applicable rate specified under section 43(1) on every dollar of such distribution.
[34/2005; 53/2007]
(4)  Subsection (1) shall not apply to any distribution made by the trustee of the real estate investment trust where tax has been paid by the trustee of the trust on the income from which the distribution is made.
[34/2005]
(4A)  Subsection (1) shall not apply to any distribution made on or after 1st January 2015 by a trustee of a real estate investment trust to a branch in Singapore of a company incorporated outside Singapore and not known to the trustee to be resident in Singapore.
[Act 37 of 2014 wef 01/01/2015]
(4B)  Subsection (1) does not apply to any distribution made to an organisation that is declared by an order under section 2(1) of the International Organisations (Immunities and Privileges) Act (Cap. 145) as an organisation of which the Government and the government or governments of one or more foreign sovereign Powers are members, if that distribution is exempt from tax by reason of that order.
[Act 34 of 2016 wef 29/12/2016]
(5)  In this section, “real estate investment trust” has the same meaning as in section 43(10).
[34/2005]
Application of section 45 to income derived as public entertainer
45GA.
—(1)  Subject to subsections (2) and (2A), section 45 shall apply in relation to the payment by any person to any public entertainer or his representative, not known to the person to be resident in Singapore, of any income derived from Singapore as a public entertainer on or after 1st January 2008 as that section applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such payment.
[53/2007; 29/2010]
(2)  For the purpose of this section and subject to subsection (2A), the deduction of tax under section 45 shall be at the rate of 15%.
[53/2007; 29/2010]
(2A)  For the purpose of this section, the deduction of tax under section 45 shall be at the rate of 10% of such income derived during the period from 22nd February 2010 to 31st March 2020 (both dates inclusive).
[29/2010]
[Act 37 of 2014 wef 27/11/2014]
(3)  In this section, “public entertainer” has the same meaning as in section 40A.
[53/2007]
Application of section 45 to commission or other payment of licensed international market agent
45H.
—(1)  Subject to subsection (2), section 45 shall apply in relation to the payment of any commission or other payment by any person to a licensed international market agent not known to him to be resident in Singapore for organising or conducting a casino marketing arrangement with a casino operator in Singapore as section 45 applies to any interest paid by a person to another person not known to him to be resident in Singapore and, for the purpose of such application, any reference in that section to interest shall be construed as a reference to such commission or payment.
[10/2006; 36/2012]
(2)  For the purpose of this section, the deduction of tax under section 45 shall be at the rate of 3%.
[10/2006]
(2A)  Subsection (1) shall not apply to any payment liable to be made on or after 1st January 2015 by any person to a branch in Singapore of a licensed international market agent, being a company incorporated outside Singapore and not known to the person to be resident in Singapore.
[Act 37 of 2014 wef 01/01/2015]
(3)  In this section, “casino marketing arrangement”, “casino operator” and “international market agent” have the same meanings as in the Casino Control Act (Cap. 33A).
[10/2006; 36/2012]
Sections 45 and 45A not applicable to certain payments
45I.
—(1)  Sections 45(1) to (8) and 45A(1) shall not apply to any income referred to in section 12(6) which is liable to be paid by a person referred to in subsection (2), if the payment is liable to be made —
(a)
at any time during the period from 17th February 2012 to 31st March 2021 (both dates inclusive) (referred to in this section as the relevant period) under —
(i)
a contract which took effect before 17th February 2012;
(ii)
a contract which was extended or renewed, where the extension or renewal took effect before 17th February 2012; or
(iii)
a debt security which was issued before 17th February 2012;
(b)
under a contract which took effect on a date which falls within the relevant period;
(c)
under a contract which was extended or renewed where —
(i)
the extension or renewal took effect on a date which falls within the relevant period; and
(ii)
the payment is made on or after the date on which such extension or renewal took effect; or
(d)
under a debt security which was issued on a date which falls within the relevant period.
[29/2012]
(2)  Subsection (1) shall apply to the following persons:
(a)
a bank licensed under the Banking Act (Cap. 19) or a merchant bank approved under the Monetary Authority of Singapore Act (Cap. 186);
(b)
a finance company licensed under the Finance Companies Act (Cap. 108);
(c)
a person who —
(i)
holds a capital markets services licence under the Securities and Futures Act (Cap. 289) for dealing in securities and advising on corporate finance;
(ii)
is involved or will be involved in the underwriting of debt or equity issuances; and
(iii)
has been approved before 17th February 2012 for the purposes of the Income Tax (Exemption of Interest and Other Payments for Economic and Technological Development) Notification 2012 (G.N. No. S 72/2012).
[29/2012]
(3)  Sections 45(1) to (8) and 45A(1) shall not apply to any income referred to in section 12(6) which is liable to be paid by a person who —
(a)
holds a capital markets services licence under the Securities and Futures Act for dealing in securities and advising on corporate finance;
(b)
is involved or will be involved in the underwriting of debt or equity issuances; and
(c)
is approved for the purposes of this section, where the approval was given on a date (referred to in this subsection as the approval date) within the relevant period by the Minister or such person as he may appoint,
if the payment is liable to be made —
(i)
at any time during the period from the approval date to 31st March 2021 (both dates inclusive) under —
(A)
a contract which took effect before the approval date;
(B)
a contract which was extended or renewed, where the extension or renewal took effect before the approval date; or
(C)
a debt security which was issued before the approval date;
(ii)
under a contract which took effect on a date which falls within the period from the approval date to 31st March 2021 (both dates inclusive);
(iii)
under a contract which was extended or renewed where —
(A)
the extension or renewal took effect on a date which falls within the period from the approval date to 31st March 2021 (both dates inclusive); and
(B)
the payment is made on or after the date on which such extension or renewal takes effect; or
(iv)
under a debt security which is issued on a date which falls within the period from the approval date to 31st March 2021 (both dates inclusive).
[29/2012]
(4)  The approval by the Minister or person appointed by him under subsection (3)(c) shall be subject to such conditions as the Minister or person may impose.
[29/2012]
(5)  This section shall not apply to any payment of income referred to in section 12(6) which the Comptroller is satisfied is made in connection with an arrangement the purpose or effect of which is one referred to in section 33(1).
[29/2012]