On 19/05/2013,
you requested for the version in force on 19/05/2013
incorporating all amendments published on or before 19/05/2013.
The closest version currently available is that of 01/01/2008.
14K.
—(1) Where the Comptroller is satisfied that —
(a)
any investment development expenditure for the carrying out of an approved investment project overseas; or
(b)
any expense for the maintenance of an approved overseas project development office,
has been incurred by an approved firm or company resident in Singapore and carrying on business in Singapore, there shall be allowed —
(i)
where such expenditure or expense is allowable as a deduction under section 14, a further deduction of the amount of such expenditure or expense in addition to the deduction allowed under that section; and
(ii)
where such expenditure or expense is not allowable as a deduction under section 14, a deduction equal to twice the amount of such expenditure or expense.
[26/93]
(2) The Minister or such person as he may appoint may —
(a)
specify the maximum amount of investment development expenditure for the carrying out of an approved investment project overseas or expenses for the maintenance of an approved overseas project development office (or any item thereof) to be allowed under subsection (1); and
(b)
impose such conditions as he thinks fit when approving the investment project or the overseas project development office for which the deduction is to be allowed under this section.
(3) No deduction shall be allowed under this section in respect of —
(a)
travelling, accommodation and subsistence expenses or allowances for more than 2 employees taking part in an approved investment project overseas;
(b)
any expenses for the maintenance of an approved overseas project development office —
(i)
which are incurred for the establishment of that office;
(ii)
by way of remuneration, travelling, accommodation and subsistence expenses or allowances for more than 3 employees of that office;
(iii)
which are specifically excluded as a condition of approval for that office under this section;
(iv)
which are incurred after the end of the first 6 months of the establishment of that office; and
(v)
which are incurred by the approved firm or company having a permanent establishment which has, during the first 6 months of the establishment of that office, income chargeable to tax in the country in which that office is established.
(4) Subject to subsection (5), as soon as any amount of deduction is allowed to any company under subsection (1), a sum equal to the amount of the expenditure or expense incurred by the company which qualified for the deduction under subsection (1) shall be credited to an account (referred to in this section as the further deduction account) to be kept by the company for the purposes of this section.
[21/2003]
(5) Where the company is a transferor company within the meaning of section 37C(19) and where any amount of further deduction allowed under this section is transferred to a claimant company as part of the loss specified under section 37C(14)( b) —
(a)
the sum transferred shall not be credited to the further deduction account to be kept by the transferor company;
(b)
for the purposes of this section, upon the transfer of the sum under paragraph (a), the sum transferred shall be credited to the further deduction account to be kept by the claimant company; and
(c)
in relation to the sum transferred under paragraph (a), subsection (6) shall apply to the claimant company.
[21/2003]
(6) Section 14B(7) to (10) shall apply, with the necessary modifications, to any company to which a deduction is allowed under subsection (1) and, in relation to a deduction allowed to any company under subsection (1)(ii), the references to further deduction in those subsections shall be read as references to a deduction of a sum equal to the amount of the expenditure or expense incurred by the company which qualified for the deduction under subsection (1)(ii).
(7) In this section —
“approved” means approved by the Minister or such person as he may appoint;
“investment development expenditure” means expenses directly attributable to the carrying out of —
(a)
any study to identify investment overseas; and
(b)
any feasibility or due diligence study on any approved investment overseas;
“overseas project development office” means any office established for the purpose of identifying, initiating and developing any approved investment overseas.