Singapore legislation

Clause 5

Amendment of section 10L

Section 10L of the principal Act is amended by inserting, immediately after subsection (3), the following subsections:“(3A) Subject to subsection (3C), where an SRS member has used funds in his SRS account for any investment, any payment to the SRS member thereafter, being —

(a)

any gains or profits from the investment made;

(b)

any part of the funds the SRS member invested; or

(c)

any proceeds from the sale or liquidation of such investment,shall be considered a withdrawal by the SRS member from his SRS account for the purposes of subsections (1), (2) and (3)(b) and (c).(3B) Subsection (3A) applies even if the SRS account has been closed before the payment mentioned in that subsection, and in that event the person to whom the payment is made shall be treated as if he is still an SRS member for the purposes of subsections (1), (2), (2A) and (3)(b) and (c).(3C) Subsection (3A) does not apply to any payment received after any balance remaining or sum standing in the SRS account is deemed withdrawn under subsection (6), (7) or (9).(3D) Where any funds in an SRS account have been used for investment, then all the funds standing in the SRS account shall be considered as having been withdrawn at the same time for the purposes of subsection (3)(a) if, and only if, amounts which the financial product provider declared to the SRS member to be all the gains or profits from the investment, all funds used for the investment and all the proceeds from the sale or liquidation of the investment have been returned to the account and these, together with all funds standing in the SRS account, are withdrawn at the same time.”.

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