Singapore legislation
Regulation 5
of Income Tax (Exemption of Income from Syndicated Offshore Facilities) Regulations 2003
Regulation 5
Determination of income exempted from tax
Subregulation 1
The exemption under regulation 4 shall apply to such amount of the income of a specified financial institution from any syndicated offshore facility as may be determined by the Comptroller, having regard to such expenses and capital allowances allowable under the Act as are, in his opinion, to be deducted in ascertaining the amount of the income to be exempted.
Subregulation 2
In determining the amount of the income to be exempted, any loss incurred in respect of a syndicated offshore facility or any capital allowances attributable to that income shall only be deducted against income to be exempted under these Regulations, and any balance of such loss or capital allowances shall not be available as a deduction against any other income.
Subregulation 2A
[Deleted by S 511/2013 wef 13/08/2013]
Subregulation 2B
Where the income to be exempted from tax under regulation 4(1) is income referred to in regulation 6(5)(b) or 7(6)(b), then the income to be so exempted shall be further reduced by the amount of deemed income referred to in regulation 6(5) or 7(6).
Subregulation 2C
[Deleted by S 237/2009 wef 17/01/2008]
Subregulation 2D
[Deleted by S 237/2009 wef 17/01/2008]
Subregulation 3
Where the funds raised from any syndicated offshore facility are used —
solely to refinance previous borrowings; or
partly outside Singapore and partly to refinance previous borrowings, and where —
the previous borrowings were granted by a person resident in Singapore or permanent establishment in Singapore (other than those borrowings the income derived therefrom is exempt from tax under section 43A(3) of the Act); or (ii)the funds raised from previous borrowings were used in Singapore,the income of a specified financial institution in relation to that syndicated offshore facility shall, for the purpose of paragraph (1), be determined by multiplying the income from the syndicated offshore facility by (1-A/B), where A is the amount of the funds raised from the syndicated offshore facility used to refinance previous borrowings where —
the previous borrowings were granted by a person resident in Singapore or permanent establishment in Singapore (other than those borrowings the income derived therefrom is exempt from tax under section 43A(3) of the Act); or (ii) the funds raised from previous borrowings were used in Singapore; andB is the total amount of the syndicated offshore facility.