Clause 15

by inserting, immediately after the word “supply” in subsection (2), the words “(other than one from which a reverse charge supply arises)”;

by inserting, immediately after the words “If the supply” in subsection (3), the words “(including one from which a reverse charge supply arises)”;

by inserting, immediately after subsection (3), the following subsections:“(3A) A reverse charge supply has a value that is of an amount equal to the consideration for the services supplied by the person or branch mentioned in section 14(1)(a) or member of the group mentioned in section 30(1A), without any deduction of any amount required to be withheld as tax under the Income Tax Act (Cap. 134) (if applicable).(3B) Where the reverse charge supply of a recipient arises from —

a supply of services mentioned in section 14(1)(a)(ii); or

a supply of services mentioned in section 30(1A),the recipient may deduct from the value of the reverse charge supply an amount equal to any cost that relates to any of the following that is included as part of the consideration for the services in fact supplied:

any salary or wages relating to the employees of (as the case may be) the branch or member of the group outside Singapore making the supply of services;

interest;

any proportionate amount of mark‑up in respect of such salary or wages and interest in paragraphs (c) and (d), respectively.(3C) For the purposes of the application of the Third Schedule, where the reverse charge supply arises from a supply of services mentioned in section 14(1)(a)(ii), the branches mentioned in section 14(1)(a)(ii) are treated as persons connected with each other.”; and

by inserting, immediately after the word “services” in subsection (4), the words “(including one from which a reverse charge supply arises)”.