Singapore legislation

Regulation 4

of Stamp Duties (Agreements for Sale of Equity Interests) (Remission) Rules 2018

Regulation 4

Remission of duty on aborted agreements

Subregulation 1

This rule applies to a contract or agreement for the sale of equity interests in an entity executed on or after 11 March 2017, where —

(a)

the contract or agreement is rescinded or annulled; and

(b)

the purchaser did not procure the rescission or annulment with a view to facilitating the disposition of the equity interests by the vendor to another person.

Subregulation 2

Subject to rules 2 and 3, the amount in excess of $50 of each of the following duties that is chargeable on the contract or agreement is remitted:

(a)

the duty chargeable under Article 3(c) of the First Schedule to the Act by reason of section 22(1) of the Act;

(b)

the duty chargeable under section 23 (read with section 23B) of the Act.

Subregulation 3

Paragraph (2) only applies if —

(a)

the person who paid or is liable to pay the duty provides such evidence of the rescission or annulment as may be required by the Commissioner —

(i)

within 6 months starting on the date of the rescission or annulment; or

(ii)

within such longer period as the Commissioner considers reasonable, if the evidence cannot be provided within the period in sub‑paragraph (i) because of unavoidable circumstances; and

(b)

the contract or agreement is surrendered for cancellation within the period mentioned in sub‑paragraph (a), unless the Commissioner dispenses with the surrender in a particular case or the instrument has already been surrendered for cancellation in relation to an earlier remission under this rule.

Subregulation 4

In this rule, “entity” and “equity interest”, in relation to an entity, have the meanings given by section 23(21) of the Act.