Clause 25

by deleting “25.5%” in subsection (1)(a) and (b) and substituting in each case “24.5%”;

by inserting, immediately after subsection (1C), the following subsections:“(1D) Notwithstanding subsection (1), for the year of assessment 2002 and subsequent years of assessment, there shall be levied and paid for each year of assessment upon the chargeable income of every company, tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income thereof except that —

for every dollar of the first $10,000 of the chargeable income (excluding Singapore dividends), only 25% shall be charged with tax; and

for every dollar of the next $90,000 of the chargeable income (excluding Singapore dividends), only 50% shall be charged with tax.(1E) In subsection (1D), “Singapore dividends” means any dividend derived from Singapore from which tax has been deducted under section 44.”; and

by deleting subsection (3) and substituting the following subsection:“(3) The reference to 24.5% in subsection (1) shall, for the year of assessment 2001, be read as a reference to 25.5%.”.