Clause 12

Where an individual resident in Singapore in the year of assessment has a legitimate third child of the family born to him on or after 1st January 1987 or a legitimate fourth child of the family born to him on or after 1st January 1988, there shall, in respect of each child, be allowed for the year of assessment immediately following the year of birth of each child —

a rebate of $20,000 against the tax payable by that individual; but where more than one individual is entitled to claim such rebate in respect of that child, the rebate shall be apportioned between them in such proportion as they may agree, or, in the absence of any agreement, in such manner as appears to the Comptroller to be reasonable;

a rebate against the tax payable by a married woman, who has elected to be charged in her own name under section 51(4), of a sum equal to 15% of her earned income assessed for that year of assessment:Provided that —

where full effect cannot be given to the rebate by reason of an insufficiency of the tax payable for that year of assessment, the balance of the unabsorbed rebate shall be available for deduction against the tax payable for the year of assessment immediately following that year of assessment and so on for the next 3 subsequent years of assessment;

where the fourth child is born within 5 years of the birth of the third child and full effect cannot be given to the rebate in respect of the fourth child by reason of an insufficiency of the tax payable for that year of assessment, the rebate or balance, if any, of the unabsorbed rebate shall be available for deduction against the tax payable for up to 5 years of assessment immediately following the last year of assessment in which the rebate in respect of the third child may be allowed under sub-paragraph (i);

where the third or fourth child in respect of whom a rebate is allowable under this section is adopted by another person within 5 years of his birth, the rebate or balance, if any, of the unabsorbed rebate shall not be available for deduction against the tax payable for any year of assessment following the year in which the child is adopted;

where a person is entitled to a rebate under paragraph (a) or (b) and his marriage is dissolved by divorce or annulment within 5 years of the birth of the third or fourth child, the rebate or balance, if any, of the unabsorbed rebate shall not be available for deduction against the tax payable for any year of assessment following the year of the order of divorce or annulment.(2) For the purposes of this section —“third child of the family” means a child of the family being a citizen of Singapore at the time of his birth or within 12 months thereafter and who has at the time of his birth two other siblings who are members of the same household and who are citizens of Singapore at that time;“fourth child of the family” means a child of the family being a citizen of Singapore at the time of his birth or within 12 months thereafter and who has at the time of his birth 3 other siblings who are members of the same household and who are citizens of Singapore at that time;“sibling” means a brother or sister and includes a step-brother or step-sister, or a brother or sister adopted in accordance with any written law relating to adoption.”.