Singapore legislation

Regulation 3

of Income Tax (Exemption of Royalties and Other Payments for Economic and Technological Development) Notification 2003

Regulation 3

Exemption

Amended byS 678/2013 wef 28/02/2013S 820/2023 wef 01/01/2024S 820/2023 wef 01/01/2024S 648/2017 wef 28/02/2018S 678/2013 wef 28/02/2013S 109/2008 wef 29/02/2008S 648/2017 wef 28/02/2018

Subregulation 1

Subject to sub-paragraph (2), there shall be exempt from tax any income of a person not resident in Singapore (referred to in this paragraph as a non-resident person), being a payment made to the non-resident person for the use of or right to use any international telecommunication submarine cable capacity (including any payment for an IRU), and accruing in or derived from Singapore —

(a)

during the period from 28th February 2003 to 27th February 2013 (both dates inclusive); or

(b)

after 27th February 2013 —

(i)

under a contract for such use or right to use which takes effect at any time during the period from 28th February 2003 to 27th February 2013 (both dates inclusive); or

(ii)

under a contract for such use or right to use which is extended or renewed, where the extension or renewal takes effect at any time during the period from 28th February 2003 to 27th February 2013 (both dates inclusive).

Subregulation 1A

Amended byS 678/2013 wef 28/02/2013

Subject to sub‑paragraph (2), there shall be exempt from tax any income of a non-resident person, being a payment made to the non‑resident person for an IRU, and accruing in or derived from Singapore —

(a)

during the period from 28th February 2013 to 27th February 2018 (both dates inclusive); or

(b)

after 27th February 2018 —

(i)

under a contract for the IRU which takes effect at any time during the period from 28th February 2013 to 27th February 2018 (both dates inclusive); or

(ii)

under a contract for the IRU which is extended or renewed, where the extension or renewal takes effect at any time during the period from 28th February 2013 to 27th February 2018 (both dates inclusive).

Subregulation 1B

Amended byS 820/2023 wef 01/01/2024S 820/2023 wef 01/01/2024S 648/2017 wef 28/02/2018

Subject to sub‑paragraph (2), the income of a non‑resident person that comprises a payment made to the non‑resident person for an IRU, and accruing in or derived from Singapore —

(a)

during the period from 28 February 2018 to 31 December 2028 (both dates inclusive); or

(b)

after 31 December 2028 —

(i)

under a contract for the IRU which takes effect at any time during the period from 28 February 2018 to 31 December 2028 (both dates inclusive); or

(ii)

under a contract for the IRU which is extended or renewed, where the extension or renewal takes effect at any time during the period from 28 February 2018 to 31 December 2028 (both dates inclusive),is exempt from tax.

Subregulation 2

Amended byS 678/2013 wef 28/02/2013S 109/2008 wef 29/02/2008S 648/2017 wef 28/02/2018

The exemption under sub‑paragraphs (1), (1A) and (1B) shall not apply to any income of the non-resident person which is —

(a)

derived from any trade or business carried on in Singapore by the non-resident person; or

(b)

effectively connected with any permanent establishment in Singapore of the non-resident person.

Read in full context — Income Tax (Exemption of Royalties and Other Payments for Economic and Technological Development) Notification 2003 →