§ 43S — Concessionary rate of tax for income derived from managing qualifying registered business trust or company

43S.—(1) Despite section 43, the Minister may by regulations provide that tax at the rate of 10% is to be levied and paid for each year of assessment upon such income as the Minister may specify derived on or after 1 April 2008 —(a)

by an approved trustee‑manager of a qualifying registered business trust from providing services in such capacity in respect of such infrastructure asset or project situated outside Singapore as may be prescribed by regulations (called in this section a prescribed offshore infrastructure asset or project); and

(b)

by an approved fund management company from —(i)

managing a qualifying company in respect of any prescribed offshore infrastructure asset or project; or

(ii)

arranging, on behalf of a qualifying company, any loan of designated securities under a securities lending arrangement in writing to another qualifying company.

(2) Regulations made under subsection (1) may provide for the deduction of losses otherwise than in accordance with section 37(3).

(3) For the purposes of this section, the Minister or an authorised body may, subject to such conditions as the Minister or authorised body may impose —(a)

approve a trustee‑manager of a qualifying registered business trust as an approved trustee‑manager; or

(b)

approve a fund management company as an approved fund management company.[32/2019]

[Act 41 of 2020 wef 06/12/2022]

(4) Approval may be granted under this section between 1 April 2008 and 31 December 2022 (both dates inclusive).[37/2014; 39/2017]

(5) In this section —“designated securities” means —(a)

stocks, shares, bonds or other securities, denominated in any foreign currency, issued by a company which is neither incorporated in Singapore nor resident in Singapore; or

(b)

bonds denominated in any foreign currency issued by any foreign government;

“fund management company” means any company incorporated in Singapore;

“qualifying company”, in relation to an approved fund management company, means any company incorporated in Singapore which —(a)

is listed or to be listed on any exchange in Singapore within one year from the date the approved fund management company is so approved; and

(b)

owns any offshore infrastructure asset or any asset used in an offshore infrastructure project, or debt securities or shares of any company that owns any offshore infrastructure asset or any asset used in an offshore infrastructure project;

“qualifying registered business trust”, in relation to an approved trustee‑manager, means any registered business trust which —(a)

is listed or to be listed on any exchange in Singapore within one year from the date the approved trustee‑manager is so approved; and

(b)

owns any offshore infrastructure asset or any asset used in an offshore infrastructure project, or debt securities or shares of any company that owns any offshore infrastructure asset or any asset used in an offshore infrastructure project;

“registered business trust” and “trustee‑manager” have the meanings given by the Business Trusts Act 2004.[43ZD

[32/2019]

—(1) Despite section 43, the Minister may by regulations provide that tax at the rate of 10% is to be levied and paid for each year of assessment upon such income as the Minister may specify derived on or after 1 April 2008 —(a)

by an approved trustee‑manager of a qualifying registered business trust from providing services in such capacity in respect of such infrastructure asset or project situated outside Singapore as may be prescribed by regulations (called in this section a prescribed offshore infrastructure asset or project); and

(b)

by an approved fund management company from —(i)

managing a qualifying company in respect of any prescribed offshore infrastructure asset or project; or

(ii)

arranging, on behalf of a qualifying company, any loan of designated securities under a securities lending arrangement in writing to another qualifying company.

(2) Regulations made under subsection (1) may provide for the deduction of losses otherwise than in accordance with section 37(3).

(3) For the purposes of this section, the Minister or an authorised body may, subject to such conditions as the Minister or authorised body may impose —(a)

approve a trustee‑manager of a qualifying registered business trust as an approved trustee‑manager; or

(b)

approve a fund management company as an approved fund management company.[32/2019]

[Act 41 of 2020 wef 06/12/2022]

(4) Approval may be granted under this section between 1 April 2008 and 31 December 2022 (both dates inclusive).[37/2014; 39/2017]

(5) In this section —“designated securities” means —(a)

stocks, shares, bonds or other securities, denominated in any foreign currency, issued by a company which is neither incorporated in Singapore nor resident in Singapore; or

(b)

bonds denominated in any foreign currency issued by any foreign government;

“fund management company” means any company incorporated in Singapore;

“qualifying company”, in relation to an approved fund management company, means any company incorporated in Singapore which —(a)

is listed or to be listed on any exchange in Singapore within one year from the date the approved fund management company is so approved; and

(b)

owns any offshore infrastructure asset or any asset used in an offshore infrastructure project, or debt securities or shares of any company that owns any offshore infrastructure asset or any asset used in an offshore infrastructure project;

“qualifying registered business trust”, in relation to an approved trustee‑manager, means any registered business trust which —(a)

is listed or to be listed on any exchange in Singapore within one year from the date the approved trustee‑manager is so approved; and

(b)

owns any offshore infrastructure asset or any asset used in an offshore infrastructure project, or debt securities or shares of any company that owns any offshore infrastructure asset or any asset used in an offshore infrastructure project;

“registered business trust” and “trustee‑manager” have the meanings given by the Business Trusts Act 2004.[43ZD

[32/2019]