Tax Advantage
Singapore’s taxation structure & incentive schemes have been put in place to help companies grow their business, such as:
- The first S$100,000 of local corporate profits earned in Singapore, for the first 3 years from a company’s incorporation, is tax-free. Maximum taxation rate for revenue generated in Singapore is 17%.
- Legal Tax Minimization – International profits earned outside Singapore are not subject to local tax, provided certain conditions are met. Thus, a properly structured Singapore company is the perfect entity to book international profits in a wholly legal manner – and not via tax avoidance or tax evasion. Singapore practices territorial tax
- Singapore has formed double taxation treaties with a network of over 60 countries.
Reputation
The ‘above board’ reputation of a Singapore company facilitates hassle-free opening of corporate bank accounts in Singapore, and all over the world. Additionally, Singapore banks offer excellent Letters of Credit (LC) support to Singapore companies engaging in international trading.