On February 18, 2020, Singapore’s Deputy Prime Minister and Minister for Finance, Heng Swee Keat, delivered the country’s 2020 Budget, which includes key corporate tax measures.
The Budget seeks to increase the corporate income tax rebate for the 2020 assessment year (AY) from 20 percent to 25 percent of tax payable, capped at SGD 15,000 per company (currently SGD 10,000).
Further, under the enhanced carry-back relief scheme for AY 2020, qualifying deductions for AY 2020 may be carried back up to three (currently one) immediate preceding AYs, capped at SGD 100,000 of qualifying deductions and subject to conditions.
Taxpayers may elect to carry back to the relevant preceding AYs an estimated amount of qualifying deductions available for AY 2020, before the actual filing of their income tax returns for AY 2020.
Further details on the enhanced carry-back relief will be available by end of February 2020.
See Overview of 2020 Budget