Clause 53

This section applies to an investment made using funds from an SRS account of an SRS member who is not a citizen of Singapore.(2) Before approving the deduction of the investment from the balance in the SRS account, an SRS operator shall comply with subsection (3), unless the Comptroller has waived such compliance by notice in writing to the SRS operator.(3) The SRS operator shall collect from the SRS member or (if he is deceased) his legal personal representative tax at the rate specified in section 43(1)(b) on an amount that is equal to 50% of the total value of the investment to be deducted from the balance in the SRS account.(4) In subsection (3), the value of an investment shall be reckoned in accordance with the regulations made under section 10L(11).(5) If the Comptroller has given a written notice to the SRS operator requiring the SRS operator to collect tax at a higher or lower rate than that specified in section 43(1)(b), then the reference to the rate specified in section 43(1)(b) in subsection (3) shall be read as a reference to the higher or lower rate.(6) The amount of tax collected under subsection (3) shall be a debt due from the SRS operator to the Government and shall be recoverable in the manner provided in section 89.(7) Where an SRS operator fails to collect the tax under subsection (3), the amount not collected shall be a debt due from the SRS operator to the Government and shall be recoverable in the manner provided in section 89.(8) If the amount of tax which is required to be collected under subsection (3) is not paid to the Comptroller —

by the 15th day of the second month following the month in which the date the SRS operator approves the deduction falls or by such later date as the Comptroller may allow, a sum equal to 5% of such amount of tax shall be payable; and

within 30 days after the time specified in paragraph (a), an additional penalty of 1% of such amount of tax shall be payable for each completed month that the tax remains unpaid, but the total additional penalty under this paragraph shall not exceed 15% of the amount of tax outstanding.(9) An SRS operator shall, after collecting the tax under subsection (3), give notice in writing of such collection to the Comptroller by the time specified in subsection (8)(a), and if the SRS operator fails to do so, the SRS operator shall be guilty of an offence and shall on conviction pay a penalty equal to 3 times the amount of tax so collected and shall also be liable to a fine not exceeding $10,000.(10) The Comptroller may —

compound an offence under subsection (9); and

for any good cause remit the whole or any part of the penalty payable under subsection (8).(11) In this section —

a reference to an SRS operator approving the deduction of an investment from the balance in an SRS account is a reference to the SRS operator approving the deduction of the sums representing the investment from the balance in the SRS account in accordance with the regulations made under section 10L(11); and

a reference to the date of approval by an SRS operator of a deduction of an investment from the balance in an SRS account is a reference to the date the SRS operator approves a deduction of the sums representing the investment from the balance in the SRS account in accordance with those regulations.”.