Singapore Budget 2014
Budget 2014 sent a very clear signal on what we want for our future: achieving quality growth and building an inclusive society. It is about accelerating the momentum of economic transformation that Singapore embarked on five years ago. Productivity has been, and will continue to be at the front and centre of our economic transformation. The extension of the Productivity and Innovation Credit (PIC) scheme for an additional three years is lauded, while the new PIC+ scheme addresses the telling signs that SMEs need more muscle in making productivity investments.
While there were no significant changes to the tax regime, small steps were taken towards greater simplicity, transparency and certainty. These included the exemption from withholding tax for branches and changes to stamp duty, amongst others. Constant refinements to our tax regime are to be expected in every Budget to ensure that Singapore's tax regime remains relevant and competitive amidst a changing global tax landscape. Overall, this Budget puts Singapore firmly on the road to economic and social transformation.
Download a PDF copy of our signature Singapore Budget 2014 synopsis (pdf, 3.7mb).
The following are some highlights from the Budget Synopsis:
- Introducing PIC+ for SMEs
- Extending and refining tax incentive schemes for qualifying funds, and recovery of GST for qualifying funds
- Personal income tax rate and rebate
- Extending the R&D tax measures
- Extending PIC benefits for training of individuals under centralised hiring arrangements
- Waiving the withholding tax requirement for payments made to Singapore branches
- Treating Basel III Additional Tier I instruments as debt for tax purposes
- Evolution of managing GST in Singapore