SINGAPORE PLEDGES TO SUPPORT COMPANIES AS COSTS RISE (BUSINESS INCENTIVES, CORPORATE TAX)

Executive Summary:

Singapore is implementing various business incentives and tax measures to support companies amidst rising costs.

These include a 50% corporate income tax rebate, cash payouts for companies hiring local employees, and an Enterprise Support Package worth SG$1.3 billion.

However, these measures are seen as near-term relief, with the long-term focus on improving productivity and sustaining real income growth.

Additionally, Singapore is adopting tax credit schemes and implementing components under pillar 2 of BEPS 2.0 to ensure a minimum effective tax rate for large corporates.