Clause 12

Subject to subsection (2) of this section, there shall be levied and paid for each year of assessment upon the chargeable income of every person (other than a company, a person not resident in Singapore, a trustee who is not the trustee of an incapacitated person, or an executor) tax in accordance with the rates specified in —Second Schedule(a)Part A of the Second Schedule to this Act in respect of the chargeable income of an individual or Hindu joint family;

Part B of the Second Schedule to this Act in respect of the chargeable income of a person other than an individual or Hindu joint family.(2) Without prejudice to section 50 of this Act, the rate of tax applicable to the income of an individual or Hindu joint family received in Singapore from outside Singapore shall be determined by reference to that income together with all other income and shall be deemed to be the highest rate applicable to his total income; and where such rate exceeds forty per cent it shall be reduced to forty per cent.”.