Singapore legislation

Clause 30

Amendment of section 42

Section 42 of the principal Act is amended by deleting subsections (6) and (7) and substituting the following subsections:“(6) There shall be levied and paid for each year of assessment upon the following income derived by a body of persons at the rate of 10%:

(a)

interest from qualifying debt securities; and

(b)

discount from qualifying debt securities which mature within one year from the date of issue of those securities and issued during the period from 27th February 2004 to 31st December 2008.(7) Subsection (6) shall not, unless otherwise approved by the Minister or such person as he may appoint, apply to —

(a)

any interest derived from any qualifying debt securities issued during the period from 10th May 1999 to 31st December 2008; and

(b)

any discount derived from any qualifying debt securities which mature within one year from the date of issue of those securities and issued during the period from 27th February 2004 to 31st December 2008,where 50% or more of the issue of those securities is beneficially held or funded, directly or indirectly, at any time during the life of the issue by related parties of the issuer of those securities and where such interest or discount, as the case may be, is derived by any body of persons —

(i)

which is a related party of the issuer of those securities; or

(ii)

from securities acquired using funds obtained, directly or indirectly, from any related party of the issuer of those securities.”.

Read in full context — Income Tax (Amendment) Bill →