Singapore legislation
Section 11C
Section 11C
Time of supply: reverse charge supplies
(1)
This section applies to determine when a reverse charge supply of a recipient mentioned in section 14 takes place for the purposes of this Act (including for the purposes of paragraph 1B of the First Schedule).
(2)
Subject to subsections (3), (4), (6) and (7), the reverse charge supply takes place when —
the person or branch mentioned in section 14(1) that in fact supplies the services to the recipient issues an invoice, or the recipient pays any consideration for those services; or
where both events occur, the first of the 2 events occurs,to the extent that the supply of services is covered by the invoice or consideration.
(3)
Where the recipient is registered under this Act, the recipient may, for any period during which the recipient receives services that are the subject of the recipient’s reverse charge supplies, treat each of those reverse charge supplies as taking place at the earlier of —
the date on which the supply in fact made to the recipient and giving rise to that reverse charge supply is entered into the books of account or other records of the recipient; and
the date on which the recipient pays any consideration for that supply,to the extent that the supply of services is covered by the entry or consideration.
(4)
Where the reverse charge supply arises from —
a supply of services mentioned in section 14(1)(a)(i) that is between connected persons within the meaning of paragraph 3 of the Third Schedule;
a supply of services mentioned in section 14(1)(a)(ii); or
a supply of services mentioned in section 30(1A),then the reverse charge supply takes place at the end of 12 months after the services have been performed, to the extent that it is not covered by any invoice already issued or consideration already paid.
(5)
The Minister may by regulations prescribe services that are excluded from subsection (4).
(6)
Where —
the recipient is a taxable person receiving services mentioned in section 14(1);
but for this subsection, the reverse charge supply would be treated under this section as taking place after the date on which the recipient becomes a taxable person; and
the Comptroller is satisfied that the services had been performed prior to that date,then the recipient may treat the reverse charge supply as taking place when the services in paragraph (a) were performed (to the extent of the performance), and the reverse charge supply is so treated for the purposes of this Act.
(7)
Where —
services are in fact performed by the person or branch mentioned in section 14(1)(a), whether on a single occasion or on different occasions;
the recipient then ceases to be a taxable person; and
no invoice or consideration covering the whole of the supply has been issued or paid (as the case may be) before the recipient ceases to be a taxable person,the reverse charge supply is treated as taking place on the day immediately before the day the recipient ceases to be a taxable person, to the extent that it is not covered by any invoice already issued or consideration already paid.
(8)
Despite subsections (2), (3), (4), (6) and (7), where —
a longer period (mentioned in section 20(4) for the purposes of the adjustment of input tax claims of the recipient) is applicable under this Act to a recipient; and
the recipient satisfies such other criteria as the Comptroller may specify,then —
the recipient may elect to treat its reverse charge supplies that would (but for this subsection) take place in the longer period, as taking place on the day immediately after the last day of the longer period; and
if the recipient makes such an election and ceases on any day in a longer period to be a taxable person (called in this paragraph the day of cessation), the reverse charge supplies of the recipient that would (but for this subsection) take place in the longer period but before the day of cessation, are treated as taking place on the day immediately before the day of cessation.
(9)
An election under subsection (8)(c) must be made in the form and manner, and within the time, required by the Comptroller.