Singapore Statutes Online - 27 - Income Tax (Amendment) Act 2009

On 23/05/2013, you requested for the version in force on 23/05/2013 incorporating all amendments published on or before 23/05/2013. The closest version currently available is that of 31/12/2009.

Amendment of section 43

33. Section 43 of the principal Act is amended —

(a)

by inserting, immediately after the word “company” in subsection (1)(a), the words “or body of persons”;

(b)

by deleting “18%” in subsection (1)(a) and (c) and substituting in each case “17%”;

(c)

by inserting, immediately after the words “distributed by the trustee” in subsection (2A)(a), the words “in cash or, if the conditions specified in subsection (2B) are satisfied, in units in the trust”;

(d)

by inserting, immediately after the words “distributed by the trustee” in subsection (2A)(b), the words “in cash”;

(e)

by inserting, immediately after subsection (2A), the following subsection:

“(2B) The conditions referred to in subsection (2A)(a) are —

(a)

the distribution is made at any time from 1st July 2009 to 31st December 2010 (both dates inclusive) by the trustee of the real estate investment trust out of income specified in subsection (2A)(a)(i) to (iv);

(b)

before the distribution, the trustee of the real estate investment trust has given to unitholders receiving the distribution an option to receive the same either in cash or units in the trust; and

(c)

the trustee of the real estate investment trust has sufficient cash available on the date of such distribution to make the distribution fully in cash had no option been given to those unitholders to receive the distribution in units in the trust.”;

(f)

by deleting subsection (6) and substituting the following subsection:

“(6) Notwithstanding subsection (1) but subject to subsection (6A), there shall be levied and paid for each year of assessment upon the chargeable income of every company or body of persons —

(a)

in the case of a company, for the year of assessment 2008 and subsequent years of assessment; and

(b)

in the case of a body of persons, for the year of assessment 2010 and subsequent years of assessment,

tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income thereof except that —

(i)

for every dollar of the first $10,000 of the chargeable income (excluding Singapore dividends), only 25% shall be charged with tax; and

(ii)

for every dollar of the next $290,000 of the chargeable income (excluding Singapore dividends), only 50% shall be charged with tax.”;

(g)

by deleting the words “for each of the first 3 years of assessment, falling in or after the year of assessment 2008, of a qualifying company,” in subsection (6A) and substituting the words “where, in any of the first 3 years of assessment, falling in or after the year of assessment 2008, of a company, the company is a qualifying company, then for that year of assessment”;

(h)

by deleting subsection (8) and substituting the following subsection:

“(8) The reference to 17% in subsection (1) shall —

(a)

for the years of assessment 2005, 2006 and 2007, be read as a reference to 20%; and

(b)

for the years of assessment 2008 and 2009, be read as a reference to 18%.”;

(i)

by inserting, immediately after the words “life insurer” in subsection (9), the words “(other than a captive insurer)”;

(j)

by inserting, immediately after the definition of “approved sub-trust” in subsection (10), the following definition:

“ “captive insurer” has the same meaning as in section 1A of the Insurance Act (Cap. 142);”; and

(k)

by deleting the definition of “qualifying company” in subsection (10) and substituting the following definition:

“ “qualifying company”, in relation to a year of assessment, means a company incorporated in Singapore which for that year of assessment —

(a)

is resident in Singapore; and

(b)

where the company —

(i)

is not a company limited by guarantee, has its total share capital beneficially held directly by no more than 20 shareholders —

(A) all of whom are individuals throughout the basis period for that year of assessment; or

(B) at least one of whom is an individual holding at least 10% of the total number of issued ordinary shares of the company throughout the basis period for that year of assessment; or

(ii)

is a company limited by guarantee, has members —

(A)

all of whom are individuals throughout the basis period for that year of assessment; or

(B)

at least one of whom is an individual throughout the basis period for that year of assessment, and the contribution of that individual under the memorandum of association of the company to the assets of the company in the event of its being wound up, amounts to at least 10% of the total contributions of the members of the company throughout the basis period for that year of assessment.”.