Singapore legislation
Clause 12
Clause 12
New section 43A
The principal Act is hereby amended by inserting immediately after section 43 thereof the following section: —“Special rate of tax for specified income43A.—
Notwithstanding the provisions of section 43 of this Act, the Minister may by regulations provide that tax at the rate of ten per cent or such other rate as may be specified in the regulations shall be levied and paid for each year of assessment upon such off-shore income as the Minister may determine of a financial institution derived by it from the operation of its Asian Currency Unit approved by the Minister.(2) In this section “off-shore income” means income derived from loans made to persons outside Singapore to be used outside Singapore where the interest on such loans is not borne, directly or indirectly, by a person resident in Singapore or a permanent establishment in Singapore.”.