Singapore legislation

Regulation 3

of Income Tax (Finance Lease of Ship — Section 13(4) Exemption) Notification 2020

Regulation 3

Exemption for payment under finance lease of Singapore ship

Amended byS 157/2022 wef 04/03/2022S 309/2024 wef 31/12/2021

Subregulation 1

Amended byS 157/2022 wef 04/03/2022

Subject to this paragraph, any payment that a shipping enterprise is liable to make on or after 12 December 2018 to a person resident outside Singapore (called in this Notification a non‑resident person) under a finance lease of any Singapore ship that is entered into on or before 31 December 2028, is exempt from tax.

Subregulation 2

Sub‑paragraph (1) does not apply to —

(a)

any payment liable to be made under the finance lease that is derived from any operation carried on by the non‑resident person through the person’s permanent establishment in Singapore; or

(b)

any payment liable to be made under the finance lease on or after the date on which the Singapore ship ceases to be a Singapore ship.

Subregulation 3

Amended byS 309/2024 wef 31/12/2021

Where the finance lease mentioned in sub‑paragraph (1) is in relation to a provisionally registered ship, and the shipping enterprise liable to make payment under the finance lease is not an approved international shipping enterprise or approved shipping investment enterprise, the exemption is subject to the condition that the ship subsequently obtains a certificate of registry under the Merchant Shipping Act 1995.