Singapore legislation

Clause 5

of Goods and Services Tax (Amendment) Bill

Clause 5

New section 21A

The principal Act is amended by inserting, immediately after section 21, the following section:“Zero-rating of supply of certain tools, etc.21A.—

(1)

Subject to such conditions as the Minister may prescribe, the supply by any taxable person of —

(a)

any prescribed tool used in the manufacture of goods;

(b)

any services directly in connection with such tool; or

(c)

any prototype of such tool,to a person who belongs in a country outside Singapore and who is not a registered person, shall be zero-rated where such tool is used in Singapore for the manufacture of goods for the person who belongs in a country outside Singapore.(2) Where a supply of goods or services by a taxable person is zero-rated under subsection (1), then, whether or not tax would be chargeable on the supply apart from this section —

(a)

no tax shall be charged on the supply; but(b)it shall in all other respects be treated as a taxable supply,and accordingly the rate at which tax is treated as charged on the supply shall be nil.”.

Read in full context — Goods and Services Tax (Amendment) Bill →