Clause 17

by inserting, immediately after the words “development and expansion company” in subsection (1), the words “for that qualifying activity”;

by inserting, immediately after subsection (1), the following subsection:“(1A) A company may make an application under subsection (1) to be approved as a development and expansion company for more than one qualifying activity which it is engaged in.”;

by deleting the words “the application and issue the company with a certificate subject to such terms and conditions as he” in subsection (2) and substituting the words “the company as a development and expansion company for the qualifying activity and issue to that company a certificate subject to such conditions as the Minister”;

by deleting subsections (3), (4), (5) and (5A) and substituting the following subsections:“(3) No company may be approved as a development and expansion company on or after 1 January 2024.(4) Every certificate issued to a development and expansion company must be in respect of a qualifying activity and must specify —

the qualifying activity;

a date as the commencement day of the qualifying activity; and

the concessionary rate of tax to be levied for that qualifying activity for the purposes of this Part.(5) Where the Minister approves a company as a development and expansion company for 2 or more qualifying activities, the Minister may issue a single certificate in respect of those qualifying activities if —

the tax relief periods of the development and expansion company for all the qualifying activities, as determined by the Minister under section 19K, expire on the same day; and

the Minister is satisfied that the development and expansion company is engaged in all the qualifying activities as part of the same project.(5A) The Minister may, upon the application of any development and expansion company, amend a certificate issued to the company —

by substituting for the commencement day of a qualifying activity specified in the certificate under subsection (4)(b) such earlier or later date as the Minister thinks fit, and upon such substitution the provisions of this Act have effect as if the date so substituted were the company’s commencement day of that qualifying activity; (b)by removing any qualifying activity from the certificate with effect from a date determined by the Minister; or

by adding to the certificate any qualifying activity and a date as its commencement day, if —

the tax relief period for the qualifying activity expires on the same day as the tax relief period or periods for the other qualifying activity or activities already specified in the certificate; and

the Minister is satisfied that the development and expansion company is engaged in the qualifying activity and the other qualifying activity or activities already specified in the certificate as part of the same project.(5B) Without prejudice to section 99, the Minister may, on the Minister’s own initiative, remove any qualifying activity from a certificate with effect from a date determined by the Minister, if the Minister is satisfied that the development and expansion company has contravened —

any provision of this Act; or

any condition of its approval as a development and expansion company.(5C) Despite section 43 of the Income Tax Act, tax at the applicable concessionary rate in subsection (5D) is levied and must be paid for each year of assessment —

upon the expansion income derived by a development and expansion company from the qualifying activity specified in its certificate during its tax relief period for that activity; or

if the certificate specifies 2 or more qualifying activities, upon the expansion income derived by it from all of those qualifying activities during its respective tax relief periods for those activities.(5D) In subsection (5C), the concessionary rate is —

in the case of a development and expansion company approved as such before the date of commencement of section 17(d) of the Economic Expansion Incentives (Relief from Income Tax) (Amendment) Act 2016, a concessionary rate of not less than 5%, as the Minister may specify in the certificate; or

in any other case, either 5% or 10% as the Minister may specify in the certificate.(5E) In the case of a development and expansion company that is approved as such on or after 29 February 2012, or that has been granted on or after that date an extension of its tax relief period or periods for any qualifying activity or activities, the concessionary rate of tax applicable to the expansion income derived by it —

from the qualifying activity specified in the company’s certificate during any part of the company’s tax relief period for that activity mentioned in subsection (5F); or

if the certificate specifies 2 or more qualifying activities, from all of those activities during any part of the company’s respective tax relief periods for those activities mentioned in subsection (5F),at any time on or after the date of the approval or during the extension period (as the case may be), is the rate specified by the Minister to the company, which must not be less than —where Ais the concessionary rate of tax applicable to the company’s expansion income derived by it from that activity or those activities (as the case may be) immediately before the commencement of that part of the tax relief period or those tax relief periods.(5F) In subsection (5E), the parts of a tax relief period for a qualifying activity are —

the beginning of the 11th year of the tax relief period to the end of the 15th year of, or the end of, the tax relief period, whichever is earlier;

the beginning of the 16th year of the tax relief period to the end of the 20th year of, or the end of, the tax relief period, whichever is earlier;

the beginning of the 21st year of the tax relief period to the end of the 30th year of, or the end of, the tax relief period, whichever is earlier; and

the beginning of the 31st year of the tax relief period to the end of the 40th year of, or the end of, the tax relief period, whichever is earlier.”;

by deleting the words “qualifying activities” in subsection (6) and substituting the words “qualifying activity or activities”; and

by inserting, immediately after the word “section” in subsection (7), the words “from that qualifying activity or those qualifying activities”.