Singapore legislation

Regulation 6

of Goods and Services Tax (Excluded Transactions) Order

Regulation 6

Issuance or transfer of carbon credits

Amended byS 900/2022 wef 23/11/2022

Subregulation 1

The issuance or transfer (including by way of sale) of any carbon credit or any digital representation of a carbon credit is treated as neither a supply of goods nor a supply of services.

Subregulation 2

To avoid doubt, the issuance of a carbon credit under sub-paragraph (1) includes the crediting of any carbon credit by the National Environment Agency into any registry account under the Carbon Pricing Act 2018.

Subregulation 3

In this paragraph —

Definition

“carbon credit” means —

(a)

a certificate representing an amount of greenhouse gas emissions reduction or removal, generated from any project or programme, and (to avoid doubt) includes a certificate representing the avoidance of an amount of such emissions;

(b)

a right to emit any greenhouse gas; or

(c)

a means to satisfy any tax or regulatory obligation arising from the emission of any greenhouse gas, and includes a carbon credit as defined in section 2(1) of the Carbon Pricing Act 2018;

Definition

“greenhouse gas” and “registry account” have the meanings given by section 2(1) of the Carbon Pricing Act 2018;

Definition

“National Environment Agency” means the National Environment Agency established under the National Environment Agency Act 2002.