Singapore legislation

Regulation 15

of Multinational Enterprise (Minimum Tax) Regulations 2024

Regulation 15

Included revaluation method gain or loss

Subregulation 1

The FANIL of a constituent entity of an MNE group for a financial year must be adjusted by adding any amount of gain, and subtracting any amount of loss, for any included revaluation method gain or loss for that financial year.

Subregulation 2

In this regulation —

Definition

“included revaluation method gain or loss” means a gain or loss before tax arising as a result of the use of an accounting method or practice that —

(a)

periodically adjusts the carrying value of the constituent entity’s property, plant and equipment to its fair value;

(b)

records the changes in value in other comprehensive income; and

(c)

does not subsequently report the gains or losses recorded in other comprehensive income through the profit and loss account;

Definition

“property, plant and equipment” means any tangible asset that —

(a)

is held by an entity for its use in the production or supply of goods or services, for rental to another person or entity, or for its administrative purposes; and

(b)

is expected to be used in more than one financial year.