§ 43 — Rate of tax upon companies and others

43.—(1) There is to be levied and paid for each year of assessment upon the chargeable income of —(a)

every company or body of persons, tax at the rate of 17% on every dollar of the chargeable income thereof;

(b)

every individual not resident in Singapore —(i)

for the year of assessment 2023 or a preceding year of assessment, tax at the rate of 22% on every dollar of the chargeable income thereof; and

(ii)

for the year of assessment 2024 and subsequent years of assessment, tax at the rate of 24% on every dollar of the chargeable income thereof; and[Act 33 of 2022 wef 04/11/2022]

(c)

every other person not resident in Singapore, trustee (other than the trustee of an incapacitated person) and executor, tax at the rate of 17% on every dollar of the chargeable income thereof.[2/2016; 41/2020]

(2) Where any trustee proves to the Comptroller’s satisfaction that any beneficiary of the trust is entitled to a share of the trust income, a corresponding share of the statutory income of the trustee may be charged at a lower rate or not charged with any tax, as the Comptroller determines.

(2AA) Subsection (2) does not apply to a trust that is a REIT exchange‑traded fund unless it is an approved REIT exchange‑traded fund.[45/2018]

(2A) Subsection (2) does not apply to —(a)

in the case of a real estate investment trust, any income from any trade or business carried on by the trustee, other than the following income distributed by the trustee in cash or, if the conditions specified in subsection (2B) are satisfied, in units in the trust:(i)

rental income, income from the management or holding of immovable property, co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(ii)

income that is ancillary to the management or holding of immovable property, or that is ancillary to co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(iii)

income that is payable out of rental income or income from the management or holding of immovable property in Singapore, or co-location income or co-working space income in relation to immovable property in Singapore, but not out of gains from the disposal of such immovable property;[Act 25 of 2025 wef 01/07/2025]

(iv)

distribution from an approved sub‑trust of the real estate investment trust out of income mentioned in paragraph (b)(i), (ii) and (iii);

(v)

rental support payment in relation to any immovable property, which is paid to the trustee by —(A)

the person (A) who sold to the trustee the property or any interest in the owner of the property;

(B)

a person who wholly owns (directly or indirectly) A; or

(C)

any other person approved by the Comptroller;

(b)

in the case of any approved sub‑trust of a real estate investment trust, any income from any trade or business carried on by the trustee, other than the following income distributed by the trustee in cash to the trustee of the real estate investment trust:(i)

rental income, income from the management or holding of immovable property, co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(ii)

income that is ancillary to the management or holding of immovable property, or that is ancillary to co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(iii)

rental support payment in relation to any immovable property, which is paid to the firstmentioned trustee by —(A)

the person (A) who sold to that trustee the property or any interest in the owner of the property;

(B)

a person who wholly owns (directly or indirectly) A; or

(C)

any other person approved by the Comptroller;

(ba)

in the case of an approved REIT exchange‑traded fund, any income from any trade or business carried on by its trustee, other than a distribution in cash received on or after 1 July 2018 from a real estate investment trust, that is in turn made out of any income mentioned in paragraph (a)(i) to (v); or[Act 25 of 2025 wef 08/12/2025]

(c)

in the case of any other trust, any income from any trade or business carried on by the trustee.[34/2016; 45/2018; 32/2019]

(2B) The conditions referred to in subsection (2A)(a) are —(a)

the distribution is made at any time on or after 1 April 2012 by the trustee of the real estate investment trust out of income specified in subsection (2A)(a)(i) to (v);

(b)

before the distribution, the trustee of the real estate investment trust has given to unitholders receiving the distribution an option to receive the same either in cash or units in the trust; and

(c)

the trustee of the real estate investment trust has sufficient cash available on the date of such distribution to make the distribution fully in cash had no option been given to those unitholders to receive the distribution in units in the trust.[34/2016; 32/2019]

(2C) To avoid doubt, subsection (2) (read with subsection (2A)(ba)) does not affect the operation of section 35(12) in relation to an approved REIT exchange‑traded fund that is also a designated unit trust within the meaning of section 35(14).[45/2018]

(2D) In subsection (2A)(a) and (b), any reference to co-location income or co-working space income is to such income that is derived on or after 1 July 2025.[Act 25 of 2025 wef 01/07/2025]

(3) Despite anything in this Act but subject to subsection (3A), tax at the rate of 15% is to be levied and paid on the gross amount of —(a)

any income referred to in section 12(6); and

(b)

any income referred to in section 12(7)(a), (b) and (d) but excluding the incomes specified in subsection (7),

accruing in or derived from Singapore on or after 28 February 1996 by a person not resident in Singapore which is not derived by the person from any trade, business, profession or vocation carried on or exercised by the person in Singapore and which is not effectively connected with any permanent establishment in Singapore of the person.

(3A) Despite anything in this Act, tax at the rate of 10% is to be levied and paid on the gross amount of any income referred to in section 12(7)(a) and (b) but excluding the incomes specified in subsection (7), accruing in or derived from Singapore on or after 1 January 2005 by a person not resident in Singapore which is not derived by the person from any trade, business, profession or vocation carried on or exercised by the person in Singapore and which is not effectively connected with any permanent establishment in Singapore of the person.

(3B) Despite anything in this Act, tax at the rate of 10% is to be levied and paid on the gross amount of any distribution made out of any income mentioned in subsection (2A)(a)(i), (ii), (iii), (iv) and (v) during the period from 18 February 2005 to 31 December 2030 (both dates inclusive) by a trustee of any real estate investment trust to a person (other than an individual) not resident in Singapore —(a)

who does not have any permanent establishment in Singapore; or

(b)

who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used by that person to acquire the units in that real estate investment trust are not obtained from that operation.[37/2014; 2/2016; 34/2016; 32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3C) Despite anything in this Act, tax at the rate of 10% is levied and must be paid on the gross amount of any distribution by a trustee of an approved REIT exchange‑traded fund that is —(a)

made out of a distribution by a real estate investment trust that is in turn made out of income of the kinds mentioned in subsection (2A)(a)(i), (ii), (iii), (iv) and (v);

(b)

made during the period from 1 July 2018 to 31 December 2030 (both dates inclusive); and[Act 25 of 2025 wef 08/12/2025]

(c)

made to a person (other than an individual) not resident in Singapore —(i)

that does not have any permanent establishment in Singapore; or

(ii)

that carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used by that person to acquire the units in that approved REIT exchange‑traded fund are not obtained from that operation.[45/2018; 32/2019]

(3D) In the application of subsection (3B) to a distribution mentioned in that subsection made during the period from 1 July 2019 to 31 December 2030 (both dates inclusive) to a person mentioned in subsection (3F) with a fund manager in Singapore, that fund manager is not considered a permanent establishment in Singapore of that person.[32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3E) In the application of subsection (3C) to a distribution mentioned in that subsection made during the period from 1 July 2019 to 31 December 2030 (both dates inclusive) to a person mentioned in subsection (3F) with a fund manager in Singapore, that fund manager is not considered a permanent establishment in Singapore of that person.[32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3F) Subsection (3D) or (3E) applies to a distribution made to any of the following persons or entities that is not resident in Singapore:(a)

a prescribed person (other than an individual) under section 13D;

(aa)

a partner of an approved limited partnership under section 13OA;[Act 25 of 2025 wef 01/01/2025]

(b)

an approved person under section 13U;

(c)

a person (not being an individual, a body of persons or a Hindu joint family) that is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(d)

a partner of a partnership (including a limited partnership and a limited liability partnership), where the partnership is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(e)

a trustee of a trust fund where the trust fund is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(f)

a taxable entity in relation to the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U, where the master fund or feeder fund is not a legal entity;

(g)

a company, a trustee of a trust fund or a partner of a limited partnership, where the company, trust fund or limited partnership is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(h)

a person (not being a company, an individual or a Hindu joint family) that is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(i)

a partner of a partnership (excluding a limited partnership but including a limited liability partnership), where the partnership is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(j)

a taxable entity in relation to an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U, where the feeder fund is not a legal entity;

(k)

an approved 1st tier SPV of an approved master‑feeder fund‑SPV structure under section 13U;

(l)

an approved 2nd tier SPV of an approved master‑feeder fund‑SPV structure under section 13U;

(m)

an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is not one mentioned in paragraphs (n), (o) and (p);

(n)

a partner of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is a partnership (including a limited partnership and a limited liability partnership);

(o)

the trustee of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is a trust fund;

(p)

the taxable entity of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is not a legal entity;

(q)

an approved 1st tier SPV of an approved master fund‑SPV structure under section 13U;

(r)

an approved 2nd tier SPV of an approved master fund‑SPV structure under section 13U;

(s)

an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is not one mentioned in paragraphs (t), (u) and (v);

(t)

a partner of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is a partnership (including a limited partnership and a limited liability partnership);

(u)

the trustee of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is a trust fund;

(v)

the taxable entity of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is not a legal entity;

(w)

a prescribed sovereign fund entity, an approved foreign government-owned entity, a prescribed international organisation or an approved international organisation under section 13V.[32/2019]

[Act 25 of 2025 wef 07/02/2024]

(4) Despite anything in this Act but subject to subsections (4A) and (5) and sections 13(1)(r), (ra) and (rb) and 40A, tax at the rate of 15% is to be levied and paid on the gross amount of any income accruing in or derived from Singapore on or after 3 May 2002 from any profession or vocation carried on by —(a)

an individual not resident in Singapore and whose principal place of business is situated outside Singapore; or

(b)

a foreign firm.[2/2016]

[Act 33 of 2022 wef 04/11/2022]

(4A) Despite anything in this Act but subject to subsection (5), tax at the rate of 10% is to be levied and paid on the gross amount of any income derived from Singapore during the period from 1 April 2023 to 31 December 2027 (both dates inclusive) —(a)

by an individual not resident in Singapore, from acting as an arbitrator;

(b)

by a qualifying mediator who is not resident in Singapore, for providing the services of a mediator for a mediation —(i)

that takes place in Singapore; or

(ii)

that would have taken place in Singapore but for the settlement of the dispute or withdrawal of the claim in question; or

(c)

by an individual not resident in Singapore, for providing the services of a mediator for a qualifying mediation —(i)

that takes place in Singapore; or

(ii)

that would have taken place in Singapore but for the settlement of the dispute or withdrawal of the claim in question.[Act 33 of 2022 wef 04/11/2022]

(5) Any individual or foreign firm to which subsection (4) or (4A) applies may make an irrevocable option to be taxed under subsection (1)(b) by the 15th day of the second month following the month in which the payment of the income is liable to be made to the individual or firm.[Act 33 of 2022 wef 04/11/2022]

(6) Despite subsection (1) but subject to subsection (6C), tax as described in subsection (6A) or (6B) (as the case may be) is levied and must be paid for each year of assessment upon the chargeable income of every company or body of persons.[45/2018]

(6A) For the purposes of subsection (6), the tax that is levied —(a)

in the case of a company, for the years of assessment 2008 to 2019 (both years inclusive); and

(b)

in the case of a body of persons, for the years of assessment 2010 to 2019 (both years inclusive),

is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —

(c)

for every dollar of the first $10,000 of the chargeable income, only 25% is chargeable with tax; and

(d)

for every dollar of the next $290,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(6B) For the purposes of subsection (6), the tax that is levied for the year of assessment 2020 and subsequent years of assessment, is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —(a)

for every dollar of the first $10,000 of the chargeable income, only 25% is chargeable with tax; and

(b)

for every dollar of the next $190,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(6C) Despite subsections (1) and (6), where, in any of the first 3 years of assessment falling in or after the year of assessment 2008 of a company, the company is a qualifying company, then for that year of assessment tax as described in subsection (6D) is levied and must be paid upon the chargeable income of the company.[45/2018]

(6D) For the purposes of subsection (6C), the tax that is levied is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —(a)

for the years of assessment 2008 to 2019 (both years inclusive) —(i)

every dollar of the first $100,000 of the chargeable income is exempt from tax; and

(ii)

for every dollar of the next $200,000 of the chargeable income, only 50% is chargeable with tax; and

(b)

for the year of assessment 2020 and subsequent years of assessment —(i)

for every dollar of the first $100,000 of the chargeable income, only 25% is chargeable with tax; and

(ii)

for every dollar of the next $100,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(7) The incomes excluded under subsections (3)(b) and (3A) are —(a)

any royalty and other payments referred to in section 10(14) or (16) which are derived by the person not resident in Singapore; and

(b)

any payment to a person not resident in Singapore for the rendering of assistance or service in connection with the application or use of scientific, technical, industrial or commercial knowledge or information.

(8) The reference to 17% in subsection (1) is —(a)

for the years of assessment 2005, 2006 and 2007, a reference to 20%; and

(b)

for the years of assessment 2008 and 2009, a reference to 18%.

(9) Despite subsection (1)(a), the tax to be levied and paid upon such income of a life insurer (other than a captive insurer) apportioned to the policyholders of the insurer as the Minister may by regulations specify is at the rate of 10% or such other prescribed rate.

(10) In this section —“approved REIT exchange‑traded fund” means a REIT exchange‑traded fund that is approved by the Comptroller for the purposes of subsection (2);

“approved sub‑trust”, in relation to a real estate investment trust, means any trust —(a)

not listed on the Singapore Exchange or elsewhere;

(b)

where the trustee of the real estate investment trust holds any right or interest in the property of the trust for the benefit of the beneficiaries of the real estate investment trust; and

(c)

approved by the Comptroller;

“arbitrator” means an individual appointed for any arbitration which is governed by the Arbitration Act 2001 or the International Arbitration Act 1994, or would have been governed by either of those Acts had the place of arbitration been Singapore;[Act 33 of 2022 wef 04/11/2022]

“captive insurer” has the meaning given by section 2 of the Insurance Act 1966;

“co-location income” means any income that is derived from the undertaking of both of the following:(a)

the provision of a physical space relating to any immovable property for use by one or more persons to house or operate any information technology equipment belonging to that person or those persons;

(b)

the provision of any infrastructure, facilities or services, relating to the immovable property used to house or operate the information technology equipment;[Act 25 of 2025 wef 01/07/2025]

“co-working space income” means any income that is derived from the undertaking of both of the following:(a)

the provision of a physical space within any immovable property for use by one or more persons to carry out any activity relating to their respective trades, businesses or operations, and to use the communal facilities, within the physical space;

(b)

the provision of any infrastructure, facilities or services within the immovable property for use by that person or those persons for the purposes mentioned in paragraph (a);[Act 25 of 2025 wef 01/07/2025]

“first 3 years of assessment”, in relation to a qualifying company, means the year of assessment relating to the basis period during which the company is incorporated in Singapore and the 2 consecutive years of assessment immediately following that year of assessment;

“foreign firm” means an unincorporated body of 2 or more persons who have entered into partnership with one another with a view to carrying on business for profit and whose principal place of business is situated outside Singapore;

“gross amount”, in relation to any income referred to in subsections (3), (3A), (3B) and (4), means the full amount of the income without any deduction and relief being allowed against the income under the provisions of this Act;

“immovable property‑related assets” means listed or unlisted debt securities and listed shares issued by property corporations, mortgage‑backed securities, other property funds, and assets incidental to the ownership of immovable property;

“qualifying company”, in relation to a year of assessment, means a company incorporated in Singapore which for that year of assessment —(a)

is resident in Singapore; and

(b)

where the company —(i)

is not a company limited by guarantee, has its total share capital beneficially held directly by no more than 20 shareholders —(A)

all of whom are individuals throughout the basis period for that year of assessment; or

(B)

at least one of whom is an individual holding at least 10% of the total number of issued ordinary shares of the company throughout the basis period for that year of assessment; or

(ii)

is a company limited by guarantee, has members —(A)

all of whom are individuals throughout the basis period for that year of assessment; or

(B)

at least one of whom is an individual throughout the basis period for that year of assessment, and the contribution of that individual under the memorandum of association of the company to the assets of the company in the event of its being wound up, amounts to at least 10% of the total contributions of the members of the company throughout the basis period for that year of assessment;

“qualifying mediation” means a mediation that is administered by a body or an organisation that provides services for the conduct of mediation (called in this section a mediation service provider), and that is prescribed under section 7;[Act 33 of 2022 wef 04/11/2022]

“qualifying mediator” means an individual who is certified or accredited under a mediator certification or accreditation scheme prescribed under section 7;[Act 33 of 2022 wef 04/11/2022]

“real estate investment trust” means a trust that is constituted as a collective investment scheme authorised under section 286 of the Securities and Futures Act 2001 and listed on the Singapore Exchange, and that invests or proposes to invest in immovable property and immovable property‑related assets;

“REIT exchange‑traded fund” means a collective investment scheme authorised under section 286 of the Securities and Futures Act 2001 and listed on the Singapore Exchange, and that invests or proposes to invest only in —(a)

real estate investment trusts; and

(b)

any entity, trust or other arrangement that invests or proposes to invest in immovable property and immovable property‑related assets, and is listed on a stock exchange outside Singapore;

“rental support payment”, in relation to immovable property, means any payment —(a)

made under an agreement —(i)

made at the time of the sale mentioned in subsection (2A)(a)(v)(A) or (b)(iii)(A); and

(ii)

that provides for such payment to be made only for a fixed period of time; and

(b)

that is intended to compensate a party to the agreement in the event that the amount of rental income from the property over a period of time is less than an amount agreed as the expected rental income for the same period, taking into account prevailing and forecasted market conditions at the time of that sale.[34/2016; 45/2018]

(10A) In the definition of “co-location income” in subsection (10), a reference to an immovable property includes such property (whether or not immovable property) used or to be used to house or operate any information technology equipment as may be prescribed by rules made under section 7.[Act 25 of 2025 wef 01/07/2025]

(11) Despite the definition of “qualifying company” in subsection (10), a company that is incorporated on or after 26 February 2013 is not a qualifying company in relation to any year of assessment if —(a)

it undertakes property development in the basis period for that year of assessment, whether or not that is the only activity it carries out during the basis period;

(b)

it is a partner of a partnership which undertakes property development in the basis period for that year of assessment, whether or not that is the only activity the partnership carries out during the basis period;

(c)

its only activity in that basis period is the holding of investments; or

(d)

it is a partner of a partnership where the only activity of the partnership during that basis period is the holding of investments, and the company has no activity during that basis period or its only activity during that basis period is the holding of investments.

(12) For the purposes of subsection (11), a company or partnership undertakes property development if it carries out any of the following activities whether in Singapore or outside Singapore:(a)

acquires land or building for the purpose of undertaking development (whether by the company or partnership or an entity to which it transfers the land or building) with a view to the sale or lease (whether by the entity undertaking the development or another entity to which the entity undertaking the development transfers the building or part thereof) of the whole or any part of the building so developed;

(b)

development with a view to the sale or lease (whether by the company or partnership or another entity to which the company or partnership transfers the building or part thereof) of the whole or any part of the building so developed;

(c)

the sale or lease of the whole or any part of a building developed by the company or partnership;

(d)

any other activity that is preparatory to, connected with or incidental to any activity referred to in paragraph (a), (b) or (c).

(13) In subsection (12) —“acquire” includes acquire by way of purchase, grant, exchange, gift, settlement or otherwise;

“develop” means to construct or cause to construct a building, including any building operations in, on, over or under the land for the purpose of erecting the building; and “development” is to be construed accordingly.

(14) For the purposes of the definitions of “qualifying mediation” and “qualifying mediator” in subsection (10), the Minister may prescribe a description of mediation service providers and a description of mediator certification or accreditation schemes that are set out on a specified website of the Ministry of Law, as amended from time to time.[Act 33 of 2022 wef 04/11/2022]

—(1) There is to be levied and paid for each year of assessment upon the chargeable income of —(a)

every company or body of persons, tax at the rate of 17% on every dollar of the chargeable income thereof;

(b)

every individual not resident in Singapore —(i)

for the year of assessment 2023 or a preceding year of assessment, tax at the rate of 22% on every dollar of the chargeable income thereof; and

(ii)

for the year of assessment 2024 and subsequent years of assessment, tax at the rate of 24% on every dollar of the chargeable income thereof; and[Act 33 of 2022 wef 04/11/2022]

(c)

every other person not resident in Singapore, trustee (other than the trustee of an incapacitated person) and executor, tax at the rate of 17% on every dollar of the chargeable income thereof.[2/2016; 41/2020]

(2) Where any trustee proves to the Comptroller’s satisfaction that any beneficiary of the trust is entitled to a share of the trust income, a corresponding share of the statutory income of the trustee may be charged at a lower rate or not charged with any tax, as the Comptroller determines.

(2AA) Subsection (2) does not apply to a trust that is a REIT exchange‑traded fund unless it is an approved REIT exchange‑traded fund.[45/2018]

(2A) Subsection (2) does not apply to —(a)

in the case of a real estate investment trust, any income from any trade or business carried on by the trustee, other than the following income distributed by the trustee in cash or, if the conditions specified in subsection (2B) are satisfied, in units in the trust:(i)

rental income, income from the management or holding of immovable property, co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(ii)

income that is ancillary to the management or holding of immovable property, or that is ancillary to co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(iii)

income that is payable out of rental income or income from the management or holding of immovable property in Singapore, or co-location income or co-working space income in relation to immovable property in Singapore, but not out of gains from the disposal of such immovable property;[Act 25 of 2025 wef 01/07/2025]

(iv)

distribution from an approved sub‑trust of the real estate investment trust out of income mentioned in paragraph (b)(i), (ii) and (iii);

(v)

rental support payment in relation to any immovable property, which is paid to the trustee by —(A)

the person (A) who sold to the trustee the property or any interest in the owner of the property;

(B)

a person who wholly owns (directly or indirectly) A; or

(C)

any other person approved by the Comptroller;

(b)

in the case of any approved sub‑trust of a real estate investment trust, any income from any trade or business carried on by the trustee, other than the following income distributed by the trustee in cash to the trustee of the real estate investment trust:(i)

rental income, income from the management or holding of immovable property, co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(ii)

income that is ancillary to the management or holding of immovable property, or that is ancillary to co-location income or co-working space income, but not including gains from the disposal of immovable property;[Act 25 of 2025 wef 01/07/2025]

(iii)

rental support payment in relation to any immovable property, which is paid to the firstmentioned trustee by —(A)

the person (A) who sold to that trustee the property or any interest in the owner of the property;

(B)

a person who wholly owns (directly or indirectly) A; or

(C)

any other person approved by the Comptroller;

(ba)

in the case of an approved REIT exchange‑traded fund, any income from any trade or business carried on by its trustee, other than a distribution in cash received on or after 1 July 2018 from a real estate investment trust, that is in turn made out of any income mentioned in paragraph (a)(i) to (v); or[Act 25 of 2025 wef 08/12/2025]

(c)

in the case of any other trust, any income from any trade or business carried on by the trustee.[34/2016; 45/2018; 32/2019]

(2B) The conditions referred to in subsection (2A)(a) are —(a)

the distribution is made at any time on or after 1 April 2012 by the trustee of the real estate investment trust out of income specified in subsection (2A)(a)(i) to (v);

(b)

before the distribution, the trustee of the real estate investment trust has given to unitholders receiving the distribution an option to receive the same either in cash or units in the trust; and

(c)

the trustee of the real estate investment trust has sufficient cash available on the date of such distribution to make the distribution fully in cash had no option been given to those unitholders to receive the distribution in units in the trust.[34/2016; 32/2019]

(2C) To avoid doubt, subsection (2) (read with subsection (2A)(ba)) does not affect the operation of section 35(12) in relation to an approved REIT exchange‑traded fund that is also a designated unit trust within the meaning of section 35(14).[45/2018]

(2D) In subsection (2A)(a) and (b), any reference to co-location income or co-working space income is to such income that is derived on or after 1 July 2025.[Act 25 of 2025 wef 01/07/2025]

(3) Despite anything in this Act but subject to subsection (3A), tax at the rate of 15% is to be levied and paid on the gross amount of —(a)

any income referred to in section 12(6); and

(b)

any income referred to in section 12(7)(a), (b) and (d) but excluding the incomes specified in subsection (7),

accruing in or derived from Singapore on or after 28 February 1996 by a person not resident in Singapore which is not derived by the person from any trade, business, profession or vocation carried on or exercised by the person in Singapore and which is not effectively connected with any permanent establishment in Singapore of the person.

(3A) Despite anything in this Act, tax at the rate of 10% is to be levied and paid on the gross amount of any income referred to in section 12(7)(a) and (b) but excluding the incomes specified in subsection (7), accruing in or derived from Singapore on or after 1 January 2005 by a person not resident in Singapore which is not derived by the person from any trade, business, profession or vocation carried on or exercised by the person in Singapore and which is not effectively connected with any permanent establishment in Singapore of the person.

(3B) Despite anything in this Act, tax at the rate of 10% is to be levied and paid on the gross amount of any distribution made out of any income mentioned in subsection (2A)(a)(i), (ii), (iii), (iv) and (v) during the period from 18 February 2005 to 31 December 2030 (both dates inclusive) by a trustee of any real estate investment trust to a person (other than an individual) not resident in Singapore —(a)

who does not have any permanent establishment in Singapore; or

(b)

who carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used by that person to acquire the units in that real estate investment trust are not obtained from that operation.[37/2014; 2/2016; 34/2016; 32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3C) Despite anything in this Act, tax at the rate of 10% is levied and must be paid on the gross amount of any distribution by a trustee of an approved REIT exchange‑traded fund that is —(a)

made out of a distribution by a real estate investment trust that is in turn made out of income of the kinds mentioned in subsection (2A)(a)(i), (ii), (iii), (iv) and (v);

(b)

made during the period from 1 July 2018 to 31 December 2030 (both dates inclusive); and[Act 25 of 2025 wef 08/12/2025]

(c)

made to a person (other than an individual) not resident in Singapore —(i)

that does not have any permanent establishment in Singapore; or

(ii)

that carries on any operation in Singapore through a permanent establishment in Singapore, where the funds used by that person to acquire the units in that approved REIT exchange‑traded fund are not obtained from that operation.[45/2018; 32/2019]

(3D) In the application of subsection (3B) to a distribution mentioned in that subsection made during the period from 1 July 2019 to 31 December 2030 (both dates inclusive) to a person mentioned in subsection (3F) with a fund manager in Singapore, that fund manager is not considered a permanent establishment in Singapore of that person.[32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3E) In the application of subsection (3C) to a distribution mentioned in that subsection made during the period from 1 July 2019 to 31 December 2030 (both dates inclusive) to a person mentioned in subsection (3F) with a fund manager in Singapore, that fund manager is not considered a permanent establishment in Singapore of that person.[32/2019]

[Act 25 of 2025 wef 08/12/2025]

(3F) Subsection (3D) or (3E) applies to a distribution made to any of the following persons or entities that is not resident in Singapore:(a)

a prescribed person (other than an individual) under section 13D;

(aa)

a partner of an approved limited partnership under section 13OA;[Act 25 of 2025 wef 01/01/2025]

(b)

an approved person under section 13U;

(c)

a person (not being an individual, a body of persons or a Hindu joint family) that is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(d)

a partner of a partnership (including a limited partnership and a limited liability partnership), where the partnership is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(e)

a trustee of a trust fund where the trust fund is the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U;

(f)

a taxable entity in relation to the approved master fund or an approved feeder fund of an approved master‑feeder fund structure under section 13U, where the master fund or feeder fund is not a legal entity;

(g)

a company, a trustee of a trust fund or a partner of a limited partnership, where the company, trust fund or limited partnership is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(h)

a person (not being a company, an individual or a Hindu joint family) that is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(i)

a partner of a partnership (excluding a limited partnership but including a limited liability partnership), where the partnership is an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U;

(j)

a taxable entity in relation to an approved feeder fund of an approved master‑feeder fund‑SPV structure under section 13U, where the feeder fund is not a legal entity;

(k)

an approved 1st tier SPV of an approved master‑feeder fund‑SPV structure under section 13U;

(l)

an approved 2nd tier SPV of an approved master‑feeder fund‑SPV structure under section 13U;

(m)

an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is not one mentioned in paragraphs (n), (o) and (p);

(n)

a partner of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is a partnership (including a limited partnership and a limited liability partnership);

(o)

the trustee of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is a trust fund;

(p)

the taxable entity of an approved eligible SPV of an approved master‑feeder fund‑SPV structure under section 13U, where the eligible SPV is not a legal entity;

(q)

an approved 1st tier SPV of an approved master fund‑SPV structure under section 13U;

(r)

an approved 2nd tier SPV of an approved master fund‑SPV structure under section 13U;

(s)

an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is not one mentioned in paragraphs (t), (u) and (v);

(t)

a partner of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is a partnership (including a limited partnership and a limited liability partnership);

(u)

the trustee of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is a trust fund;

(v)

the taxable entity of an approved eligible SPV of an approved master fund‑SPV structure under section 13U, where the eligible SPV is not a legal entity;

(w)

a prescribed sovereign fund entity, an approved foreign government-owned entity, a prescribed international organisation or an approved international organisation under section 13V.[32/2019]

[Act 25 of 2025 wef 07/02/2024]

(4) Despite anything in this Act but subject to subsections (4A) and (5) and sections 13(1)(r), (ra) and (rb) and 40A, tax at the rate of 15% is to be levied and paid on the gross amount of any income accruing in or derived from Singapore on or after 3 May 2002 from any profession or vocation carried on by —(a)

an individual not resident in Singapore and whose principal place of business is situated outside Singapore; or

(b)

a foreign firm.[2/2016]

[Act 33 of 2022 wef 04/11/2022]

(4A) Despite anything in this Act but subject to subsection (5), tax at the rate of 10% is to be levied and paid on the gross amount of any income derived from Singapore during the period from 1 April 2023 to 31 December 2027 (both dates inclusive) —(a)

by an individual not resident in Singapore, from acting as an arbitrator;

(b)

by a qualifying mediator who is not resident in Singapore, for providing the services of a mediator for a mediation —(i)

that takes place in Singapore; or

(ii)

that would have taken place in Singapore but for the settlement of the dispute or withdrawal of the claim in question; or

(c)

by an individual not resident in Singapore, for providing the services of a mediator for a qualifying mediation —(i)

that takes place in Singapore; or

(ii)

that would have taken place in Singapore but for the settlement of the dispute or withdrawal of the claim in question.[Act 33 of 2022 wef 04/11/2022]

(5) Any individual or foreign firm to which subsection (4) or (4A) applies may make an irrevocable option to be taxed under subsection (1)(b) by the 15th day of the second month following the month in which the payment of the income is liable to be made to the individual or firm.[Act 33 of 2022 wef 04/11/2022]

(6) Despite subsection (1) but subject to subsection (6C), tax as described in subsection (6A) or (6B) (as the case may be) is levied and must be paid for each year of assessment upon the chargeable income of every company or body of persons.[45/2018]

(6A) For the purposes of subsection (6), the tax that is levied —(a)

in the case of a company, for the years of assessment 2008 to 2019 (both years inclusive); and

(b)

in the case of a body of persons, for the years of assessment 2010 to 2019 (both years inclusive),

is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —

(c)

for every dollar of the first $10,000 of the chargeable income, only 25% is chargeable with tax; and

(d)

for every dollar of the next $290,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(6B) For the purposes of subsection (6), the tax that is levied for the year of assessment 2020 and subsequent years of assessment, is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —(a)

for every dollar of the first $10,000 of the chargeable income, only 25% is chargeable with tax; and

(b)

for every dollar of the next $190,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(6C) Despite subsections (1) and (6), where, in any of the first 3 years of assessment falling in or after the year of assessment 2008 of a company, the company is a qualifying company, then for that year of assessment tax as described in subsection (6D) is levied and must be paid upon the chargeable income of the company.[45/2018]

(6D) For the purposes of subsection (6C), the tax that is levied is tax at the rate prescribed in subsection (1)(a) on every dollar of the chargeable income, except that —(a)

for the years of assessment 2008 to 2019 (both years inclusive) —(i)

every dollar of the first $100,000 of the chargeable income is exempt from tax; and

(ii)

for every dollar of the next $200,000 of the chargeable income, only 50% is chargeable with tax; and

(b)

for the year of assessment 2020 and subsequent years of assessment —(i)

for every dollar of the first $100,000 of the chargeable income, only 25% is chargeable with tax; and

(ii)

for every dollar of the next $100,000 of the chargeable income, only 50% is chargeable with tax.[45/2018]

(7) The incomes excluded under subsections (3)(b) and (3A) are —(a)

any royalty and other payments referred to in section 10(14) or (16) which are derived by the person not resident in Singapore; and

(b)

any payment to a person not resident in Singapore for the rendering of assistance or service in connection with the application or use of scientific, technical, industrial or commercial knowledge or information.

(8) The reference to 17% in subsection (1) is —(a)

for the years of assessment 2005, 2006 and 2007, a reference to 20%; and

(b)

for the years of assessment 2008 and 2009, a reference to 18%.

(9) Despite subsection (1)(a), the tax to be levied and paid upon such income of a life insurer (other than a captive insurer) apportioned to the policyholders of the insurer as the Minister may by regulations specify is at the rate of 10% or such other prescribed rate.

(10) In this section —“approved REIT exchange‑traded fund” means a REIT exchange‑traded fund that is approved by the Comptroller for the purposes of subsection (2);

“approved sub‑trust”, in relation to a real estate investment trust, means any trust —(a)

not listed on the Singapore Exchange or elsewhere;

(b)

where the trustee of the real estate investment trust holds any right or interest in the property of the trust for the benefit of the beneficiaries of the real estate investment trust; and

(c)

approved by the Comptroller;

“arbitrator” means an individual appointed for any arbitration which is governed by the Arbitration Act 2001 or the International Arbitration Act 1994, or would have been governed by either of those Acts had the place of arbitration been Singapore;[Act 33 of 2022 wef 04/11/2022]

“captive insurer” has the meaning given by section 2 of the Insurance Act 1966;

“co-location income” means any income that is derived from the undertaking of both of the following:(a)

the provision of a physical space relating to any immovable property for use by one or more persons to house or operate any information technology equipment belonging to that person or those persons;

(b)

the provision of any infrastructure, facilities or services, relating to the immovable property used to house or operate the information technology equipment;[Act 25 of 2025 wef 01/07/2025]

“co-working space income” means any income that is derived from the undertaking of both of the following:(a)

the provision of a physical space within any immovable property for use by one or more persons to carry out any activity relating to their respective trades, businesses or operations, and to use the communal facilities, within the physical space;

(b)

the provision of any infrastructure, facilities or services within the immovable property for use by that person or those persons for the purposes mentioned in paragraph (a);[Act 25 of 2025 wef 01/07/2025]

“first 3 years of assessment”, in relation to a qualifying company, means the year of assessment relating to the basis period during which the company is incorporated in Singapore and the 2 consecutive years of assessment immediately following that year of assessment;

“foreign firm” means an unincorporated body of 2 or more persons who have entered into partnership with one another with a view to carrying on business for profit and whose principal place of business is situated outside Singapore;

“gross amount”, in relation to any income referred to in subsections (3), (3A), (3B) and (4), means the full amount of the income without any deduction and relief being allowed against the income under the provisions of this Act;

“immovable property‑related assets” means listed or unlisted debt securities and listed shares issued by property corporations, mortgage‑backed securities, other property funds, and assets incidental to the ownership of immovable property;

“qualifying company”, in relation to a year of assessment, means a company incorporated in Singapore which for that year of assessment —(a)

is resident in Singapore; and

(b)

where the company —(i)

is not a company limited by guarantee, has its total share capital beneficially held directly by no more than 20 shareholders —(A)

all of whom are individuals throughout the basis period for that year of assessment; or

(B)

at least one of whom is an individual holding at least 10% of the total number of issued ordinary shares of the company throughout the basis period for that year of assessment; or

(ii)

is a company limited by guarantee, has members —(A)

all of whom are individuals throughout the basis period for that year of assessment; or

(B)

at least one of whom is an individual throughout the basis period for that year of assessment, and the contribution of that individual under the memorandum of association of the company to the assets of the company in the event of its being wound up, amounts to at least 10% of the total contributions of the members of the company throughout the basis period for that year of assessment;

“qualifying mediation” means a mediation that is administered by a body or an organisation that provides services for the conduct of mediation (called in this section a mediation service provider), and that is prescribed under section 7;[Act 33 of 2022 wef 04/11/2022]

“qualifying mediator” means an individual who is certified or accredited under a mediator certification or accreditation scheme prescribed under section 7;[Act 33 of 2022 wef 04/11/2022]

“real estate investment trust” means a trust that is constituted as a collective investment scheme authorised under section 286 of the Securities and Futures Act 2001 and listed on the Singapore Exchange, and that invests or proposes to invest in immovable property and immovable property‑related assets;

“REIT exchange‑traded fund” means a collective investment scheme authorised under section 286 of the Securities and Futures Act 2001 and listed on the Singapore Exchange, and that invests or proposes to invest only in —(a)

real estate investment trusts; and

(b)

any entity, trust or other arrangement that invests or proposes to invest in immovable property and immovable property‑related assets, and is listed on a stock exchange outside Singapore;

“rental support payment”, in relation to immovable property, means any payment —(a)

made under an agreement —(i)

made at the time of the sale mentioned in subsection (2A)(a)(v)(A) or (b)(iii)(A); and

(ii)

that provides for such payment to be made only for a fixed period of time; and

(b)

that is intended to compensate a party to the agreement in the event that the amount of rental income from the property over a period of time is less than an amount agreed as the expected rental income for the same period, taking into account prevailing and forecasted market conditions at the time of that sale.[34/2016; 45/2018]

(10A) In the definition of “co-location income” in subsection (10), a reference to an immovable property includes such property (whether or not immovable property) used or to be used to house or operate any information technology equipment as may be prescribed by rules made under section 7.[Act 25 of 2025 wef 01/07/2025]

(11) Despite the definition of “qualifying company” in subsection (10), a company that is incorporated on or after 26 February 2013 is not a qualifying company in relation to any year of assessment if —(a)

it undertakes property development in the basis period for that year of assessment, whether or not that is the only activity it carries out during the basis period;

(b)

it is a partner of a partnership which undertakes property development in the basis period for that year of assessment, whether or not that is the only activity the partnership carries out during the basis period;

(c)

its only activity in that basis period is the holding of investments; or

(d)

it is a partner of a partnership where the only activity of the partnership during that basis period is the holding of investments, and the company has no activity during that basis period or its only activity during that basis period is the holding of investments.

(12) For the purposes of subsection (11), a company or partnership undertakes property development if it carries out any of the following activities whether in Singapore or outside Singapore:(a)

acquires land or building for the purpose of undertaking development (whether by the company or partnership or an entity to which it transfers the land or building) with a view to the sale or lease (whether by the entity undertaking the development or another entity to which the entity undertaking the development transfers the building or part thereof) of the whole or any part of the building so developed;

(b)

development with a view to the sale or lease (whether by the company or partnership or another entity to which the company or partnership transfers the building or part thereof) of the whole or any part of the building so developed;

(c)

the sale or lease of the whole or any part of a building developed by the company or partnership;

(d)

any other activity that is preparatory to, connected with or incidental to any activity referred to in paragraph (a), (b) or (c).

(13) In subsection (12) —“acquire” includes acquire by way of purchase, grant, exchange, gift, settlement or otherwise;

“develop” means to construct or cause to construct a building, including any building operations in, on, over or under the land for the purpose of erecting the building; and “development” is to be construed accordingly.

(14) For the purposes of the definitions of “qualifying mediation” and “qualifying mediator” in subsection (10), the Minister may prescribe a description of mediation service providers and a description of mediator certification or accreditation schemes that are set out on a specified website of the Ministry of Law, as amended from time to time.[Act 33 of 2022 wef 04/11/2022]