Regulation 1
Citation and commencement
This Order may be cited as the Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 and shall come into operation on 9th January 2013.
/akn/sg/act/sub_leg/1947/ITA-S6-2013
Income Tax (Remission of Tax for Shipping Enterprises) Order 2013
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- Type
- Subsidiary Legislation
- Status
- In force
- Enacted
- 1947
- Sections
- 4
Quick answer
About this subsidiary legislation
Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 is Singapore Subsidiary Legislation, cited as Subsidiary Legislation ITA-S6-2013 1947, currently marked in force and first recorded in 1947.
Regulation 2
Definitions
Subregulation 1
In this Order —
Definition
“approved” and “international shipping enterprise” have the same meanings as in section 13F(6) of the Act;
Definition
“operating”, in relation to a ship, means any of the following: (a)the carriage of passengers, mail, livestock or goods by the ship outside the limits of the port of Singapore;
(b)
the charter of the ship for any use outside the limits of the port of Singapore;
(c)
the use of the ship outside the limits of the port of Singapore as a dredger, seismic ship, or for offshore oil or gas activity;
(d)
the use of the ship for towing or salvage operations outside the limits of the port of Singapore;
Definition
“ship” includes any dredger, seismic ship or any vessel used for offshore oil or gas activity;
Definition
“shipping enterprise” has the same meaning as in section 13A(16) of the Act.
Subregulation 2
In this Order, a reference to a ship being registered (provisionally or otherwise) under the Merchant Shipping Act (Cap. 179) at any particular time does not include a ship whose registry under that Act is closed or deemed to be closed or is suspended at that time.
Regulation 3
Remission in relation to sale of ships
Subregulation 1
There shall be remitted the tax on the income of a shipping enterprise or an approved international shipping enterprise, as the case may be, where the enterprise is in the business of operating ships, and —
(a)
the income is derived during the period from the first day of the basis period for the year of assessment 2005 to 31st May 2011 (both dates inclusive); and
(b)
the income comprises —
(i)
in the case of the shipping enterprise, the gains derived from any of the following:
(A)
the sale of any of its ships registered (provisionally or otherwise) under the Merchant Shipping Act (Cap. 179);
(B)
the assignment by the enterprise to another person of all its rights as a buyer under a contract for the construction of any ship which is, at the time of the assignment, provisionally registered under the Merchant Shipping Act; and
(ii)
in the case of the approved international shipping enterprise, the gains derived from any of the following:
(A)
the sale of any of its ships registered (provisionally or otherwise) under any shipping registry, including under the Merchant Shipping Act;
(B)
the assignment by the enterprise to another person of all its rights as a buyer under a contract for the construction of any ship which is, at the time of the assignment, registered (provisionally or otherwise) under any shipping registry, including under the Merchant Shipping Act.
Subregulation 2
The remission referred to in sub-paragraph (1) shall not apply to the gains derived by the shipping enterprise or approved international shipping enterprise, as the case may be —
(a)
from the sale by the enterprise of any ship under a finance lease treated as a sale under section 10D of the Act and the Income Tax (Income from Finance Leases) Regulations (Rg 13), under which the enterprise is a lessor; or
(b)
in the case of the shipping enterprise, from the sale by the enterprise of any ship before its delivery to the enterprise, where —
(i)
the ship is the only asset owned by the enterprise; and (ii)the enterprise is not related to any other shipping enterprise, or any approved international shipping enterprise, that carries on the business in Singapore of operating ships.
Subregulation 3
For the purpose of sub-paragraph (2)(b)(ii), a shipping enterprise is related to another shipping enterprise or an approved international shipping enterprise if —
(a)
25% or more of the total number of the issued shares of the first-mentioned shipping enterprise are beneficially owned, directly or indirectly, by the second-mentioned shipping enterprise or the approved international shipping enterprise, as the case may be;
(b)
25% or more of the total number of the issued shares of the second-mentioned shipping enterprise or the approved international shipping enterprise, as the case may be, are beneficially owned, directly or indirectly, by the first‑mentioned shipping enterprise; or
(c)
25% or more of the total number of issued shares in each of —
(i)
the first-mentioned shipping enterprise; and
(ii)
the second-mentioned shipping enterprise or the approved international shipping enterprise, as the case may be, are beneficially owned, directly or indirectly, by a third person.
Regulation 4
Remission in relation to sale of special purpose company
There shall be remitted the tax on the income derived by a shipping enterprise or an approved international shipping enterprise, as the case may be, where —
(a)
the income is derived during the period from 16th February 2008 to 31st May 2011 (both dates inclusive); and
(b)
the income comprises gains derived from the sale of the entire ordinary shareholding of the enterprise in a wholly‑owned special purpose company whose only business is operating ships and —
(i)
in the case of the shipping enterprise, at the time of the sale of the shares by the enterprise, the special purpose company —
(A)
owns one or more ships registered (provisionally or otherwise) under the Merchant Shipping Act (Cap. 179) and does not own any ship registered under a foreign registry; or
(B)
is the buyer under a contract for the construction of any ship which is, at that time, provisionally registered under the Merchant Shipping Act and does not own any ship registered under a foreign registry; and
(ii)
in the case of the approved international shipping enterprise, at the time of the sale of the shares by the enterprise, the special purpose company —
(A)
owns any ship registered (provisionally or otherwise) under any shipping registry, including under the Merchant Shipping Act; or
(B)
is the buyer under a contract for the construction of any ship which is, at that time, registered (provisionally or otherwise) under any shipping registry, including under the Merchant Shipping Act.
Common questions
- What is Income Tax (Remission of Tax for Shipping Enterprises) Order 2013?
- Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 is Singapore Subsidiary Legislation, cited as Subsidiary Legislation ITA-S6-2013 1947, currently marked in force and first recorded in 1947.
- Is Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 still in force?
- Yes — Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 is currently in force.
- When did Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 take effect?
- Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 was first recorded in 1947.
- How many regulations does Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 have?
- Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 contains 4 regulations.
- Where can I read the official version of Income Tax (Remission of Tax for Shipping Enterprises) Order 2013?
- The official text of Income Tax (Remission of Tax for Shipping Enterprises) Order 2013 is published at sso.agc.gov.sg.