Singapore legislation
Regulation 4
of Income Tax (Exemption of Foreign Income of Approved Shipping Investment Enterprise) Order 2017
Regulation 4
Exemption from tax of income relating to chartering and finance leasing of ship derived before 25 March 2016
Subregulation 1
The income described in sub‑paragraph (2) of an ASIE that is received in Singapore during the period of the ASIE’s approval is exempt from tax.
Subregulation 2
The income to which sub‑paragraph (1) applies is dividends from an approved company of the ASIE, or partnership profits of an approved partnership of an ASIE, that are paid out of income derived by the company or partnership before 25 March 2016 and during the period of the approval of the company or partnership, from any of the following activities:
the chartering or finance leasing, for use outside the limits of the port of Singapore, of an applicable sea‑going ship of the approved company or approved partnership (excluding a ship used for offshore renewable energy activity or offshore mineral activity) during the qualifying period of the ship to —
a person who is neither resident in Singapore nor a permanent establishment in Singapore;
an approved international shipping enterprise; or
the ASIE;
the chartering or finance leasing, for use outside the limits of the port of Singapore, of an applicable Singapore ship of the approved company or approved partnership (excluding a ship used for offshore renewable energy activity or offshore mineral activity) during the qualifying period of the ship to a shipping enterprise within the meaning of section 13A of the Act.
Subregulation 3
Sub‑paragraph (1) also applies to the income of an ASIE described in sub‑paragraph (2) that is —
received in Singapore after the date the ASIE’s approval has expired or been withdrawn; or
paid out of income derived by an approved company or approved partnership of the ASIE from any of the activities mentioned in sub‑paragraph (2) after the date the approval of the approved company or approved partnership has expired or been withdrawn,if the ASIE has fulfilled all the conditions specified under section 13S(3) of the Act for its approval by the date of expiry or before the date of the withdrawal of the approval.
Subregulation 4
Sub‑paragraph (1) does not apply to income paid out of income derived from any activity carried out by a permanent establishment of the approved company or approved partnership in Singapore.
Subregulation 5
Sub‑paragraph (1) does not apply to income paid out of income derived at any time between 1 March 2011 and 23 February 2015 (both dates inclusive) by an approved company or approved partnership that is approved on or after 1 March 2011, from the leasing of a sea‑going ship under a finance lease that is treated as a sale under regulations made under section 10D(1) of the Act.