Singapore legislation

Clause 14

Reverse charge on supplies received from abroad

(1)

Subject to subsection (2), where any supply of services, not being services within any of the descriptions specified in the Fourth Schedule, are —

(a)

supplied by a person who belongs in a country other than Singapore; and

(b)

received by a person (referred to in this section as the recipient) who belongs in Singapore for the purposes of any business carried on by him,then all the same consequences shall follow under this Act (and particularly so much as charges tax on a supply and entitles a taxable person to credit for input tax) as if the recipient had himself supplied the services in Singapore in the course or furtherance of his business, and that supply were a taxable supply.

(2)

Supplies which are treated as made by the recipient under subsection (1) are not to be taken into account as supplies made by him when determining the allowance of input tax in his case under section 20(1).

(3)

For the purposes of subsection (1) —

(a)

the supply of services treated as made by the recipient shall be assumed to have been made at the time when the supplies are paid for or on the last day of the prescribed accounting period in which the services are performed, whichever is the earlier; and

(b)

notwithstanding section 17(2), the value of the supply of services treated as made by the recipient shall be taken to be such amount as is equal to whatever consideration the services were in fact supplied to him.

Read in full context — Goods And Services Tax Bill →