Singapore legislation
Regulation 12
of Income Tax (Refundable Investment Credits) Regulations 2025
Regulation 12
Offset of due taxes of related company: offsetting and its effect
Subregulation 1
After the notification in regulation 10(6) in relation to any Y has become effective, and unless a notification under regulation 11(4) or 13(1)(b) in relation to that Y has become effective, the Comptroller must —
offset an amount of the due tax of that Y using X’s RICs by the lowest of the following: (i)X’s RICs less any amount of X’s RICs that has already been used to offset the due tax of X or any Y;
the RICs for that Y (or the amount of RICs for that Y as revised under regulation 11(6)) less any amount of X’s RICs that has already been used to offset the due tax of that Y;
the amount of the due tax of that Y; and
debit X’s RIC account by an amount equivalent to X’s RICs that is used to offset the due tax of that Y under sub-paragraph (a).
Subregulation 2
For the purpose of paragraph (1)(a), RICs in X’s RIC account that are given on an earlier date are to be fully applied to offset the due tax of that Y before RICs in that account that are given on a later date.
Subregulation 3
Where the Comptroller uses any amount of X’s RICs to offset the due tax of any Y —
the Comptroller must give notice of the offset to both X and that Y; and
if Y is of the same group as X as at the date of the application in regulation 10(1) or (7) (as the case may be) and the date on which the offset took place, the amount of Y’s due tax that has been so offset is treated as paid.