Making businesses pay their fair share. That’s one subject that more than 130 jurisdictions may have found consensus on when they inked the Base Erosion and Profit Shifting initiative in October last year.
However, the effective tax rate of many businesses in Singapore could be lower than this rate through the incentives introduced by the Inland Revenue Authority of Singapore. This burgeoning digital economy is estimated to add as much as S$13.5 billion to Singapore’s gross domestic product, according to market research firm IDC.
He further announced that S$25 billion will be earmarked for Singapore’s Research, Innovation and Enterprise 2025 strategy, serving as a catalyst for similar investments in the private sector. Businesses worried about the cost of going green will be supported. Aligned with Singapore’s revised goal of becoming a net-zero emissions economy “by or around mid-century”, Mr Wong assured businesses of the support they need to make the same transition.
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