Clause 13

by deleting subsection (1) thereof and substituting therefor the following: —“(1) Where a person is liable to pay to another person not known to him to be resident in Singapore an amount of interest which is chargeable to tax under this Act, the person paying the interest shall deduct therefrom tax at the rate of forty per cent on every dollar of such interest and shall forthwith render an account to the Comptroller of the amount so deducted and every such amount shall be a debt due from him to the Government and shall be recoverable in the manner provided by section 90 of this Act:Provided that the Comptroller may give notice in writing to the person who pays such interest requiring that person to deduct and account for tax at a higher or lower rate than forty per cent on every dollar of such interest or to pay such interest without deduction of tax.(2) Where any person fails to make a deduction which he is required to make under subsection (1) of this section, the amount which he fails to deduct shall be a debt due from him to the Government and shall be recoverable as such.”; and

by renumbering subsection (2) thereof as subsection (3).