Everything You Need to Know About the Singapore ONE Pass Visa

Singapore continues to be a global hub for economic growth, thanks to its political stability and modern infrastructure. Its strategic positioning as a focal point of business makes it a prime destination for professionals looking for lucrative opportunities.

The country, recognized for its safety and high standard of living, consistently attracts top-tier talent from all around the globe. The Ministry of Manpower (MOM) in Singapore introduced the Overseas Networks and Expertise Pass (ONE Pass), a groundbreaking work visa program, to streamline its initiatives to acquire global talent. Naturally, forward-thinking professionals seek immigration and visa services in Singapore from established teams to ensure hassle-free processing of their ONE Pass.

In this article, we have detailed the eligibility, benefits, and application process of the ONE Pass. Read on to know the unique advantages of this visa, which has been designed to empower highly skilled individuals contribute to the country’s economy.

What Is the Singapore ONE Pass Visa?

The ONE Pass, effective from 1st January 2023, is a specialized work visa that aims to attract global talent to Singapore. While traditional work permits are tied to a specific employer, the ONE Pass offers a greater degree of flexibility. Professionals holding this pass can simultaneously work for multiple organizations.

Thus, this pass offers greater mobility in career compared to the Employment Pass (EP) with its individual-centric nature. While changing employers, professionals need not re-apply for a visa in Singapore.

Eligibility Criteria for the ONE Pass

Individuals applying for the ONE Pass must meet stringent criteria to be a part of the country’s workforce.

  • Salary-Based Eligibility: An applicant for the ONE Pass must earn a fixed monthly salary of at least S$30,000 over the past 12 months. Overseas applicants must demonstrate their employment with a reputable international organization for at least one year.
  • Working in an Established company with annual revenue of 200 million or 500 million capitalisation OR
  • Exceptional Achievements: Applicants who do not meet salary criteria can still qualify based on outstanding accomplishments in arts and culture, sports, science and technology, and academia and research. These candidates can qualify for the Overseas Networks & Expertise Pass without meeting the salary criterion, showcasing Singapore’s commitment to diverse fields of excellence.

MOM thoroughly evaluates each application, ensuring that the selected candidates bring exceptional value to the economy and society of Singapore.

Validity and Renewal Process

Initially, the ONE Pass remains valid for five years. The renewal eligibility depends on certain factors and the pass holder must meet one of the following:

  • Maintaining an average fixed monthly salary of at least S$30,000 in Singapore over five years
  • Started and is operating a Singapore-based company that employs at least 5 locals, each earning a fixed monthly salary of at least S$5,000

Benefits of the ONE Pass

The ONE Pass offers a comprehensive suite of benefits to professionals that make it an outstanding choice among global visas.

How Much Does It Cost to Apply for the ONE Pass?

How to Apply for the ONE Pass?

Applicants or their authorized representatives can follow these steps to apply for the ONE Pass.
  • Application Submission: Fill out the submission form and pay a fee S$105. Typically, the application process takes up to four weeks, and additional time may be required to evaluate the profiles of candidates with exceptional achievements.
  • Approval and IPA Letter: Once successful, applicants receive an In-Principle Approval (IPA) letter, which serves as a temporary work visa and allows them to enter Singapore for six months.
  • Enter Singapore: Applicants must make sure they comply with the vaccination-based travel criteria to enter Singapore.
  • Entry and EPSC Appointment: Next, the applicant needs to schedule an appointment with the EPSC (Employment Pass Services Centre) and submit the necessary documents:
    • Letter of In-Principle Approval (IPA)
    • Original passport
    • Contact information (local cell phone number and email address)
    • Residential address in Singapore
    • Existing immigration or short-term visit permit details
    • Signed Medical Declaration Form (if applicable)
    • The issuing requires a payment of S$225
  • Notification letter: Professionals then receive the notification letter which remains valid for one month, which allows them to work in Singapore while the ONE Pass is being processed.
  • Fingerprint and photo registration (if applicable)
Within two weeks of receiving their ONE Pass, candidates who haven’t registered in the past five years and new applicants must register their fingerprints and get their pictures taken. To schedule an appointment, candidates must contact the Employment Pass Services Center (EPSC).
  • Issuance of the card: Once applicants complete their biometric registration, they receive their ONE Pass within five working days.

Documentation Requirements

Applicants need to furnish the following documents to ensure a smooth processing of their ONE Pass.

  • Valid copies of passport
  • Income proof like payslips and tax statements and documents supporting other income sources other than fixed monthly salary
  • Employment verification documents
  • A detailed CV and supporting evidence for exceptional achievements
  • Additional documents as requested

Appeal and Cancellation

In case the authorities reject the ONE Pass application of a candidate, the person can appeal for the same within three months. However, it’s imperative to address the reasons for rejection with fresh information.

Most appeals will be processed within 4 weeks.

In case the candidate no longer remains employed, the pass must be cancelled at least one week before departure to comply with tax obligations.

Professional Immigration and Visa Services in Singapore

The launch of the ONE Pass Visa program in Singapore serves as a testament to its forward-thinking immigration strategy. While professionals experience unprecedented flexibility and inclusivity, applying for the Pass successfully remains a challenge.

Successful candidates often seek professional immigration and visa services from the IMC Group to obtain an employment pass in Singapore. Skilled professionals and entrepreneurs can consult the experts to acquire the ONE Pass successfully and tap the tremendous career opportunities in Singapore.

Mastering Global Talent Mobility: Challenges and Solutions for Modern Businesses

Forward-thinking enterprises largely prioritize global mobility as they explore foreign ventures in an interconnected world. It’s no longer a privilege, but a priority for growing businesses. With increasing cross-border workforce challenges, successful companies have found the perfect remedy in the form of global mobility services from competent teams.

Dedicated mobility solutions largely improve talent retention, helping your business remain competitive. However, this opportunity comes with its share of complexities, from compliance hurdles to integrating your employees in the new country seamlessly.

In this article, we have explored the latest trends and strategies associated with global talent mobility. We have also addressed these challenges, offering actionable insights that should help businesses thrive in a dynamic landscape.

The Role of Global Mobility in a Corporate Structure

Being a company head or a part of the corporate leadership, you might wonder where global mobility should reside in the corporate structure. Should you integrate it into the total rewards program, or should it be aligned with HR and talent acquisition?

Many organizations are moving towards Centers of Excellence (CoEs) to streamline mobility services. With this approach, global mobility teams work closely with compliance and reward teams to address challenges like tax, immigration, and relocation logistics.

However, it’s imperative to take note of regional interests. For instance, organizations in North America often prioritize talent integration and career development, while those in EMEA emphasize compliance and cost management. With businesses expanding their global footprint, they are working closely with experts providing global mobility services to address specific requirements while expanding to each region.

Remote Work Complexities and How to Address Compliance Issues

In recent years, paradigms have shifted in global workspaces, with traditional operational mechanisms giving way to remote procedures. Thus, businesses expanding overseas face new compliance challenges related to tax, immigration, and labor law. When employees work from different locations, these hurdles further intensify compliance challenges.

For instance, an employee temporarily working in another country might trigger tax residency obligations or legal risks for the employer. Naturally, the need for robust compliance frameworks is evident, which addresses questions like:

  • Can employees work remotely from any location?
  • What legal responsibilities does the company bear during international relocations?
  • How do time zone differences affect productivity and operational goals?

With clear and consistent policies governing remote work and relocation in place, businesses can maintain transparency while ensuring compliance in other countries. Communicating these policies seamlessly ensures compliance and minimizes the confusion of employees.

Total Rewards and Pay Transparency

In recent years, the concepts of global mobility and total rewards are intersecting. This is particularly true with new pay transparency laws in regions like the EU. While adhering to these regulations, organizations need to disclose details of compensation, which makes the entire process transparent.
Currently, many organizations are standardizing their compensation practices. This delivers a unified experience to employees across different regions. These include:
  • Benchmarking global compensation to ensure fairness
  • Aligning Total Rewards programs with mobility policies
  • Balancing location-specific benefits with global equity
Remember, transparency in payments is not just about compliance. It largely drives the trust and loyalty of your employees. Companies proactively aligning their global mobility and total rewards strategies are better positioned to attract top talent and retain it.

The Growing Popularity of Workations

As employees are looking for greater flexibility in their work arrangements, the concept of workations is gaining traction. This refers to working while traveling, which largely enhances the satisfaction and morale of your employees. Workations also introduce new challenges related to logistics and compliance.

For businesses, the key lies in balancing flexibility with governance. Therefore, organizations need to define:

  • Permissible durations for workations
  • Eligible destinations based on tax and labor laws
  • Processes for addressing compliance risks

With clear guidelines in place, workations are a win-win arrangement that boosts the well-being of employees while protecting the interests of the organization.

Best Practices for Global Talent Mobility

Organizations must adopt these strategic measures to understand the evolving nature of global mobility.

  • Integrate mobility with total rewards: This involves creating a cohesive strategy aligning talent mobility with compensation and benefits.
  • Reliable Global Mobility Experts: Count on reputed global mobility consultants who are ahead in tracking compliance, manage relocations, and provide on-time support.
  • Foster employee engagement: Communicate your policies clearly and support employees with resources to relocate.

Global Mobility Solutions from Seek Professional Experts

Global mobility services are no longer a back-office function. Rather, you need professional global mobility solutions from established teams of experts to confidently transfer your workforce abroad. Reputed service providers, like the IMC Group, assist international businesses streamline their growth with global mobility solutions.

Enterprises can also check out this complete guide on global mobility services to enhance compliance and confidently stride ahead with growth and innovations. A professional edge from these experts can help businesses maximize the potential of overseas growth, with access to global talent. As businesses continue to redefine their strategies, expert global mobility solutions are the key to remaining competitive in the dynamic business environment.

In Singapore, the Accounting and Corporate Regulatory Authority (ACRA) may strike off a company from their register due to various reasons like failure to comply with the norms or inactivity. If your company has been struck off in Singapore but you wish to resume operations, here’s the ultimate guide for you.

We have come up with this detailed article on restoring a struck-off company in Singapore to help your organization restore its operations. In this guide, we have detailed the process of restoration and recommended specific steps that will help your firm regain its legal status.

It’s important to seek company liquidation and strike-off support from experts as they can put your business back on track.

How to Strike-Off a Company

For a company to be considered for striking off, it must fulfil several conditions that assure ACRA of its eligibility. These grounds are designed to ensure that the company has settled its obligations and is not leaving behind any unresolved liabilities.

Striking off of companies that failed to file Ars

The Registrar is empowered to strike off a company if there is reasonable cause to believe that a company is not carrying on business or is not in operation. For example, failure to file with ACRA the ARs for a few consecutive years.

Should You Restore a Struck-Off Company or Start a New One?

Although you can start a new company in Singapore, restoring your previous one can be advantageous in several ways.

  • Retain your UEN: If you feel that the name and UEN (Unique Entity Number) of your previous company are valuable, restoring it allows you to retain both. If you start a new company, you’ll lose the previous ones.
  • Minimized disruptions: If the previous company had no financial or legal issues, restoring it allows you to resume business quickly without complications.
  • Access to existing assets: When you restore a struck-off company, you can continue growing your assets that were previously tied to the company.
However, if the previous company had unresolved liabilities before it was struck off, you’ll be liable to pay those debts again on restoring it.

Deadline for Restoring a Company That Has Been Struck Off

Under the Companies Act, an application to restore a struck-off company must be made within 6 years of the company’s striking off.

Eligibility for Restoration after Being Struck Off

While there’s a provision for restoring your business after being struck off, not all companies are eligible for this restoration. Generally, businesses that have been struck off within the last six years can apply for this facility. However, the company must fulfill the following criteria to be eligible for restoration.

For restoration, we need to first understand the below:

  1. Method under which the Company was struck off.
  2. Reason for restoration of the Company.
  3. Date of Strike off.
There are two methods for restoring a struck-off company:

Court-ordered restoration

Administrative restoration

Only former directors or shareholders can apply to ACRA for this process.

The restoration is intended for entities that were removed by ACRA, not the entities that had voluntarily applied for Striking off.

In some cases, even former shareholders can apply for court-ordered restoration if they can show a financial interest in the revival of the company. It’s essential to ensure that all outstanding documents, taxes, and obligations are up-to-date before applying for restoration. In case your company fails to meet these requirements, restoration might be denied.

Steps to Restore a Struck-Off Company

1. Check eligibility with ACRA

In the first place, you need to check whether your company is eligible for restoration. Visit BizFile+, the online portal of ACRA, to get an update on the status of the company. If the company has been struck off for less than 6 years, it may still be eligible for reinstatement.

2. Prepare and submit the required documents

Gather all the necessary documents before applying for restoration. These include:

  • Evidence of tax compliance and other regulatory obligations
  • The financial statements and other filings that were overdue
  • A declaration confirming that the company doesn’t have any outstanding obligations or liabilities
Moreover, you may have to provide the reasons explaining why the company was struck off and your intention to resume operations.

3. File a Restoration Application via BizFile+

The application for restoration must be filed online through the BizFile+ portal. Pay the necessary fees and submit relevant documents in the process. In case you had failed to file taxes in the past, you may have to provide proper proof of having settled them.

4. Clear Outstanding Fees and Penalties

If the company was struck off due to non-compliance, you need to pay fines, penalties, or outstanding fees. In case you have unpaid taxes due, thy need to be cleared with the IRAS. Finally, businesses can proceed with the restoration with IRAS.

5. Review and Decision

After a business submits the application, ACRA will review the case. During the review, they may request additional documents or clarifications. ACRA will evaluate the current standing and compliance of the company and come to a decision. If everything is in order, ACRA will approve the restoration.

The entire process of restoring a struck-off company may take one to two months. However, if any documents are missing or non-compliance issues arise, further delays may complicate the process. It’s wise to consult professional teams of experts for corporate advisory services and restore your business.

Conclusion

While it is possible to restore a struck-off company in Singapore, the process is complex and calls for expert advice. During the process, businesses need to demonstrate their compliance with regulatory requirements.

If your company has been struck off, don’t panic. Consult the IMC Group, a reputed team of professionals providing corporate secretarial services in Singapore. These experts can guide you to restore your company so that you can resume your business activities in Singapore. With complete assistance to ensure compliance and adhere to the legalities, businesses can confidently continue operating in the dynamic business environment in the country.

The Evolution of Wealth Management in the Middle East

The transformation of the Middle East into a global hub for wealth management in recent years is a phenomenal development in the region. The growing affluent population and economic diversification in the Middle East largely define its position as a wealth management hub. Prominent financial centers like the DIFC (Dubai International Financial Centre), ADGM (Abu Dhabi Global Market), and KAFD (King Abdullah Financial District) are crucial to this transformation.

Naturally, this region has been drawing substantial international investment over the last decade. This growth is reshaping the financial position of the region, with wealth management firms adopting client-oriented strategies and advanced technologies to meet the demands of investors. Affluent families are consulting single family office in Dubai for professional wealth management and strategic investment guidelines.

Wealth Management Trends in the GCC

With the evolution of technology, wealth management practices in the region are evolving. This marks a shift towards client-centric approaches. High-net-worth individuals (HNWIs) and affluent expatriates are increasingly seeking professional advisory solutions that adhere to global standards.

According to recent studies, around 26% of the affluent to ultra-HNW investors in the UAE have changed their investment strategies over the last year. Some of the key drivers of this change include:

  • Higher capital allocation towards offshore investments
  • Adoption of more aggressive financial strategies
  • Confidence in reinvesting returns to grow wealth, with 58% of the investors planning to reinvest

As investors look out for specialized services, discretionary portfolio management, and Islamic finance solutions, reputed service providers are adapting their strategies in the GCC.

Opportunities and Challenges of Technological Advancements

Globally, technology has significantly revolutionized wealth management. The Middle East faces unique challenges in integrating digital solutions. Currently, many companies depend on fragmented systems for portfolio management, advisory services, and custody, which lead to inefficiencies.

Major Issues in Technology Integration

  • Redundant features: Many systems include excessive features that add complexity without delivering value.
  • Fragmentation: Disconnected platforms hinder seamless operations, affecting both front-office relationship managers and back-office processes.
  • Poor data integration: This creates inefficiencies, limits straightforward processing, and makes the systems prone to errors.

Relationship managers working in the front office often need to navigate multiple systems. This limits their ability to offer personalized advice. In the back office, manual intervention is still common, which raises operational costs and increases risks.

Moving Toward Unified Technology Platforms

Wealth management firms must adopt integrated platforms to overcome these challenges. These platforms significantly streamline operations and enhance the overall experience of clients. With unified systems, these firms gain a holistic view of client portfolios, which encompass services like investment management, advisory, and custody.

Investors in the UAE value clarity and transparency. When evaluating wealth management providers, 88% prioritize clear communication, and 84% emphasize effective task management. In this regard, digital portfolio visualization tools are particularly important, with 80% of investors in the UAE finding them essential to build trust.

The Role of AI and Data Analytics

Advanced technologies like AI and predictive analytics are significantly transforming wealth management practices in the GCC. Relationship managers often deploy these advanced tools to:

  • Provide proactive advice on investments
  • Streamline operational tasks through automation
  • Deliver deeper insights into the performance of portfolios, enhancing the trust and satisfaction of clients

As businesses adapt to these innovations, scalable platforms capable of integrating emerging technologies are likely to play a critical role in staying competitive.

Addressing Regulatory Complexities

The multi-jurisdictional regulatory environment in the GCC further complicates challenges for wealth managers. Different compliance standards across multiple countries call for robust systems that can adapt to diverse frameworks. Forward-thinking wealth management firms also need to contend with global competition as international players enter the region. This significantly elevates their standards and operational practices.

Considering these challenges, a unified and scalable platform is essential to address the complexities. This would enable wealth managers to meet regulatory requirements while delivering seamless services across borders.

A Bright Future for Wealth Management in the Middle East

The wealth management sector in the Middle East is on the path of growth trajectory and modernization. As the region diversifies its economy and attracts affluent investors, firms need to prioritize integrated technology. Along with client-centric strategies and adaptability to regulations, top wealth management firms can adhere to the latest standards and deliver valuable service to their clients.

The wealth management industry in the GCC must adapt to these changes to emerge as a global leader. Thus, these firms can set new benchmarks for personalized financial services largely driven by technology.

Professional Advisor Services for Single Family Offices in Dubai

Established companies like the IMC Group assist single family office in Dubai, providing comprehensive support throughout the process of establishing and managing the organization. This includes professional guidance on legal structuring, regulatory compliance, investment strategies, tax planning, and overall operational support. Single family offices can address their challenges with expert advisory solutions as they set up their establishment in the region.

Amendments to the UAE VAT Regulations Important Things Businesses Shouldn't Miss Out

The VAT Executive Regulations (VAT ER) in the UAE have undergone significant amendments, which can bring about significant implications for your business. The revised set of norms has come into effect from 15th November 2024. Businesses across different verticals are likely to be affected, while the consequences will be specific to the financial services industry.

In this edition, we have outlined the key amendments every business should know.

VAT Exemption for Financial Services

Under Article 42, the VAT exemption for financial services companies has been expanded. The revised provisions include:

  • Fund management services: This refers to services provided by a fund manager to licensed investment funds, like managing operations, investments, and performance.
  • Virtual assets: According to the revised norms, the exemption now covers the transfer and management of virtual assets like cryptocurrencies. These changes are retrospective and will affect transactions from January 1, 2018. These exemptions will simplify compliance and eliminate VAT invoicing obligations, but they can complicate input VAT recovery, particularly for fund managers. With professional VAT Consultancy Services in UAE from experts, businesses can simplify this process.

Zero-Rate for Export of Goods

Amendments have been made to Article 30, which clarifies the documentation requirements for exporting goods under a zero-rate VAT. The amendments offer a greater degree of flexibility, acknowledging that different export scenarios may require varying documents.

Now, businesses can retain customs declaration or the Bill of Lading as evidence for applying the zero rate. This will help organizations address challenges related to obtaining necessary documentation for exports.

Zero-Rate for Services and Transport

Changes have also been made to the zero-rate VAT application on services, particularly regarding international transportation and related services. These include:

  • Export of services: Certain services like installation of goods or real estate services don’t qualify for the zero rate any longer.
  • International transport: Only the international segment of transportation can be zero-rated unless provided by the original service supplier.
  • Transport-related services: The amendments clarified certain conditions for zero-rating services related to the operation or maintenance of different means of transportation.

Input VAT Recovery on Health Insurance

With the latest amendments now in place, businesses can recover input VAT on health insurance expenses for one spouse and three children under 18. This change is likely to mitigate the administrative burden companies used to experience previously while tracking input VAT on the health insurance of their employees.

Exemption for Supplies by Government Entities

According to Article 3 (bis), a new provision has been included to exclude certain transactions between government entities from VAT. These include:

  • Transfer or disposal of government real estate or buildings
  • The right to use or exploit these assets
Also, a new threshold of AED 250,000 currently applies to deemed supplies by government entities and charities. In case the VAT amount is below this mark, the transactions will not be subject to VAT.

Other Key Changes

Some of the other amendments that impacted different areas are:

  • Tax invoices: New timelines for issuing summary tax invoices (14 days after the calendar month)
  • Input VAT recovery: The amendment clarified how to calculate input VAT recovery entitlement, particularly for businesses with tax years shorter than 12 months
  • Composite supply rules: Clarifications on VAT treatment for supplies consisting of multiple elements
  • Profit margin scheme: Following the amendments, the “purchase price” now includes all related costs and fees beyond just the product price
  • VAT registration cancellation: The FTA can now cancel VAT registrations if businesses fail to meet certain conditions
Implications and Next Steps for Businesses
The latest amendments in the UAE are likely to affect businesses across several sectors. Therefore, businesses must review their operation and identify transactions affected by these changes. As the new set of norms is already in place since 15th November, businesses are coordinating with top companies offering VAT Consultancy Services in UAE, like the IMC Group. These experts will provide a detailed analysis of how the changes can affect a business and suggest practical steps for adaptation.
Singapore Tax Update Key Legislative Developments in October 2024

In a major development in the tax regime in Singapore, the Singapore Parliament approved two major bills on October 15, 2024. These are the Multinational Enterprise (Minimum Tax) Bill and the Income Tax (Amendment) Bill, which introduce significant changes in tax to ensure compliance with global frameworks while supporting local economic activities.

For businesses operating in Singapore, it’s imperative to remain abreast of these tax updates to ensure compliance. Consulting established companies providing professional taxation services in Singapore, enterprises can adhere to the latest regulations.

In this edition, check out what these new updates are, and how they can impact your business.

1. Multinational Enterprise (Minimum Tax) Bill

The legislation in Singapore introduced two new top-up taxes under the Base Erosion and Profit Shifting (BEPS) initiative of OECD. The goal of this initiative is to make sure Singapore complies with international tax frameworks. These measures are likely to be implemented from January 1, 2025. This legislation introduces two new top-up taxes under the OECD’s Base Erosion and Profit Shifting (BEPS) initiative to align Singapore with international tax frameworks.

Key Features:

a. Domestic Top-up Tax (DTT)

  • Targets entities in Singapore within large MNE groups.
  • Imposed if the effective tax rate of the group in Singapore is below 15%.

b. Multinational Enterprise Top-up Tax (MTT)

  • Applicable to MNE groups with their headquarters in Singapore.
  • Imposed if the entities of the company in foreign jurisdictions have an effective tax rate below 15%.
  • The MTT ensures that the global effective tax rate for the group is increased to a minimum threshold of 15%.
It applies only to large MNE groups with at least €750 million as the annual group revenue in two or more of the four preceding financial years.

Compliance and Enforcement

The Comptroller of Income Tax is authorized to administer, collect, and enforce the MTT and DTT.

Offences under the new norms include:

  • Failure to maintain proper records
    Tax evasion
  • Obstruction to the duties of the Comptroller
These powers are already in place under the Income Tax Act 1947 to ensure that the IRAS (Inland Revenue Authority of Singapore) can effectively enforce compliance.

2. Income Tax (Amendment) Bill

This bill introduces tax measures announced in the 2024 Budget Statement last February, along with some periodic updates to the income tax regime in Singapore. The provisions under this bill are presented below.

a. Refundable Investment Credit (RIC)

The RIC has been designed to encourage high-value economic activities in Singapore. It provides tax credits for local expenditures, like:
  • Capital investments
  • Research and development (R&D)
  • Manpower training
  • Freight and logistics

Eligible Activities

  • Establishing or expanding manufacturing facilities
  • Setting up headquarters and services operations
  • Conducting R&D and innovation projects
  • Commodity trading
  • Decarbonization initiatives

How It Works

  • Tax credits offset corporate income tax payable
  • Unused credits are refunded within four years of the qualifying claim for expenditures

b. Renovation and Refurbishment (R&R) Scheme Enhancements

The scheme allows businesses to deduct R&R expenses, which are typically not deductible as capital expenses. From Year of Assessment (YA) 2025, qualifying expenses will include designer and professional fees.

Standardized Expenditure Cap Period

Previously, the cap period used to vary, based on the time when a business made its first claim. Currently, the standardized rate involves a three-year cap of SGD 300,000, starting from YA 2025 to YA 2027. Businesses can now opt to claim the entire R&R deduction in one YA instead of spreading it over three YAs. This significantly improves their cash flows.

Why These Changes Matter for Businesses

Now, let’s understand how these changes in the tax regime in Singapore are likely to affect businesses.

1. Global compliance

The DTT and MTT ensure Singapore remains compliant with the global tax framework of BEPS (Base Erosion and Profit Shifting) of the OECD. This will safeguard its reputation as a leading financial hub.

2. Encouraging investments

The RIC provides incentives to businesses to channel their investments into activities driving innovation and economic growth in Singapore while maintaining sustainability.

3. Greater flexibility

New updates to the R&R Scheme now provide businesses with greater flexibility and control over their financial management, particularly in areas sensitive to cash flow.

What Businesses Should Do Next?

Successful businesses are looking to adopt a proactive stance and assess the updated tax structures. For large MNEs, it’s necessary to evaluate their global tax positions and maintain compliance with the DTT and MTT requirements by 2025.

Another challenge involves detecting qualifying expenditures early to maximize benefits under the RIC framework. Forward-thinking businesses are already reaching out to leading companies providing professional taxation services in Singapore, like the IMC Group. Consulting these experts can help in optimizing their tax deductions for expenses related to renovation and refurbishments. With a trusted tax advisory partner providing accurate guidance, businesses in Singapore can remain compliant amidst the new tax regime.

UAE Businesses Get a Lifeline with Corporate Tax Grace Period

The Federal Tax Authority (FTA) has announced a grace period for corporate tax, providing businesses in the UAE with a window to file their taxes without incurring penalties. This initiative has been designed to ease the transition to the evolving tax framework in the UAE, fostering compliance and mitigating financial strain for its organizations.

The grace period extends from 1st January 2024 to 31st March 2025. This grants businesses ample time to address discrepancies or late submissions. Companies that correct their filings during this corporate tax period in UAE will avoid penalties. Moreover, if they had paid any penalties between 1st January 2024 and the end of the grace period, they would be eligible for refunds.

This initiative is based on Cabinet Decision No. (105) of 2021, which governs administrative penalty refunds. The decision demonstrates the commitment of the UAE to support businesses and ensure tax compliance. Naturally, businesses are reaching out to reputed corporate tax consultants in Dubai, UAE to optimize their filings and ensure compliance.

Why Businesses Must Stay Updated

While the grace period provides a window to resolve tax-related issues, businesses must remain vigilant when it comes to reporting their obligations. They need to communicate certain changes to the FTA within 20 business days to avoid penalties. These include updates like modification of the business address, change of manager, issuing new licenses, or changes in the legal structure of the company. Considering the complexity of these processes, businesses seek corporate tax advisory in the UAE to remain on the right track.

Failing to report these changes to the concerned authorities can result in fines of up to AED 10,000 per violation. However, the grace period provides a chance for businesses to make these updates without being concerned about penalties. With this additional window in place, businesses must act quickly to pay their pending taxes during the period.

Refund Opportunities for Taxes Already Paid

One of the most attractive features of the grace period for businesses is the opportunity to reclaim penalties they already shelled out in 2024. Organizations that have incurred fines due to errors in their filings or missed deadlines are eligible for refunds if they can resolve these issues within the grace period. Therefore, this measure alleviates the financial burden on businesses and acts as an incentive that the companies can capitalize on.

Businesses must seek expert assistance from companies providing corporate tax advisory in UAE to take full advantage of this provision. Within the grace period, they need to submit their refund requests promptly and provide all necessary documentation to the FTA.

Strategic Implications for Businesses

This initiative brings more than a temporary pause on penalties. It is a strategic opportunity for companies to strengthen their compliance frameworks. Businesses need to take proactive steps to align with regulatory requirements, which will keep compliance issues at bay in the future.

The decision of the FTA reflects its broader goal to create a fair and transparent tax environment. The grace period is simply not about rectifying past issues. It aims to foster a culture of accountability and compliance in the evolving corporate tax landscape in the UAE.

Steps to Ensure Compliance

  • Carry out a thorough audit: In order to make the most of the grace period, businesses must start conducting a thorough audit of their tax filings. Any discrepancies or missed deadlines need to be addressed immediately to avoid complications later. Companies must also report any recent changes in their business structure like change of address or issuance of new licenses.
  • Submitting a request for refund: Businesses that have already paid penalties need to submit a request for refunds. This will help them recover their losses.
  • Review and improve internal compliance processes: This is the ideal time to review and improve internal compliance processes. They need to invest in better systems and train their employee to remain compliant with tax norms and avoid penalties.

Seek Professional Assistance from Corporate Tax Consultants in Dubai

The grace period for paying corporate tax in the UAE is a lifeline for businesses operating in the country. With its provisions for penalty waivers and refunds, it offers a unique opportunity to resolve tax issues and correct errors. Businesses must reach out to one of the established corporate tax consultants in Dubai, UAE like the IMC Group to act promptly and ensure compliance. This grace period will allow companies to secure their financial health and position themselves for long-term success in the dynamic business environment in the UAE.

M&A Market in Singapore Witnesses 29% Growth in 2024

Singapore continues to strengthen its position as a leading regional hub for M&A (mergers and acquisitions). In 2024, the country has recorded substantial growth in such deal values, as evident from the latest data. In the first three months, M&A turnovers that involve Singapore-based companies reached $51 billion, marking a 29% YoY increment compared to the same period in 2023. These figures clearly demonstrate the resilience and attractiveness of Singapore as a global hub for businesses.

With the volume of transactions on the rise, businesses are looking for expert advisory solutions regarding Singapore mergers and acquisitions to remain profitable in the long run.

Eight High-Stake Deals Boost M&A Transactions in Singapore

The boost in M&A deals is largely driven by major transactions. Over the last year, there have been eight major deals valued at over $1 billion. These M&A deals account for a transaction value of $16.2 billion. Some of the notable deals among these were acquisitions by the Australian company Lendlease and Warburg Pincus.

However, the country noted a 25.5% YoY decline in the total number of deals. It reflects broader global market conditions that point to concerns like political instability and valuation issues. As a result, certain businesses have reassessed their strategies.

Surge in Inbound and Domestic M&A Activity

Over the last year, inbound M&A activity in Singapore recorded a striking rise. Foreign investors acquired a number of Singapore-based companies. The total worth of these companies comes to $14.3 billion, which marks a 66.4% increment from the previous year.

These figures demonstrate the increasing appeal of Singapore as a primary destination for investment in the region. M&A activities also witnessed a surge in the domestic front, as total transactions reached $4.5 billion, recording a 15% YoY increment. This indicates a healthy level of consolidation within the local market in Singapore.

A Decline in Outbound M&A Transactions

However, there has been a sharp decline in outbound M&A transactions, where Singaporean companies acquire foreign businesses. At $14.7 billion, the figure is the lowest in the last nine years. This decline can be attributed to factors like discrepancies in valuation, regulatory challenges, and geopolitical uncertainties. Moreover, 62% of CEOs in Singapore reported that they had delayed or abandoned M&A deals over the past year due to these market conditions.

Amidst all these challenges, forward-thinking businesses must have a look at the key regulations for M&A in Singapore. Consulting reputed advisory professionals for due diligence can pave the road to success for global firms.

Professional Advisory Solutions for M&A Activities in Singapore

The M&A market in Singapore continues to maintain a positive outlook, with strong growth in inbound activities expected in the coming months. Singapore’s role as a pivotal business hub in Southeast Asia is attracting international investors. This significantly reinforces the reputation of the city as a key center for strategic acquisitions.

For due diligence and expert insights regarding Singapore mergers and acquisitions, global players are partnering with established advisory companies like the IMC Group. Consulting seasoned experts, businesses can strike M&A deals with confidence and propel towards growth in Singapore.

Key-Insights-for-Businesses-on-Accounting Outsourcing Trends in India

As a business owner, there’s no denying that managing business finances efficiently while keeping your costs under control proves to be a challenge. Forward-thinking organizations are turning to outsourced accounting services in India to tackle this challenge. With cost-effective solutions, efficiency, and access to skilled professionals, outsourced solutions work wonders for businesses from all verticals.

Rather than being a strategy to curtail costs, outsourcing has evolved into a smart business decision. Competent teams of professionals offer accounting outsourcing services in India. Besides streamlining your business finances, these experts fuel innovation and provide advanced security to your financial data.

In this edition, we have presented you with some key trends in accounting outsourcing in India.

5 Crucial Accounting Outsourcing Trends in India

Now, let’s take a look at the emerging trends that have been shaping outsourced accounting solutions in India.

1. Technological Integration

The outsourced accounting outsourcing industry in India heavily relies on sophisticated technology like automation and AI. Naturally, the industry has witnessed a transformation in the way financial data is processed and managed. AI is rapidly replacing the era of manual accounting to ensure greater transparency and accuracy.

These advancements allow Indian companies to streamline their accounting processes and free up their sources for other crucial functions.

2. Enhanced Data Security Measures

Leading outsourced accounting service providers have adopted stringent security protocols to strengthen their line of defense against rising concerns over data breaches. This goes a long way in protecting the sensitive information of their clients.

Some of the crucial data security measures include:

Successful companies seek CFO advisory and consulting services from experts to ensure accurate accounting and safe handling of their financial records.

3. Efficient Budgeting

The cost advantage of outsourcing accounting services in India makes it appealing to businesses. Maintaining an in-house accounting team involves additional expenses like salaries, office space, software, and training expenses. Outsourcing eliminates these costs, reducing overheads significantly.

The best thing is that professional accounting teams in India offer world-class services at competitive rates. This makes expert financial management accessible even to small and medium-sized businesses. As these firms cut costs on accounting, they can allocate more funds to core activities like marketing, innovating products, or expansion.

4. Blockchain Technology

Blockchain is a leading technology that strengthened outsourced accounting solutions in recent years. Top accounting firms are incorporating this technology into their services to ensure immutable records and prevent fraud.

Blockchain ensures all financial transactions are time-stamped and tamper-proof, which creates an auditable trail. Businesses gain real-time visibility into transactions to minimize errors and fraudulent activities. This transparency, that blockchain provides, fosters better trust between businesses and their outsourcing partners.

To sum up, blockchain technology ensures that your financial processes are secure and accurate, while they remain easily verifiable.

5. Advanced Insights with AI and ML

Thanks to AI and machine learning, professional service providers offer advanced accounting solutions beyond basic bookkeeping. Predictive analytics tools help in analyzing historical data to provide forecasts and identify spending patterns, besides predicting risks. ML algorithms, on the other hand, detect irregularities in financial data, ensuring compliance and accuracy.

Businesses are now better poised to make data-driven decisions regarding investments and budgeting. Outsourcing accounting services to professionals that deploy AI and ML helps businesses gain a competitive edge.

Virtual CFO Services from Professional Teams

For small and medium-sized enterprises, hiring a full-time Chief Financial Officer (CFO) can be costly. One of the most prominent trends is the emergence of virtual CFO services that bridge this gap. Experienced professionals offer expert financial guidance without requiring firms to shell out the high overheads.

Leading teams of experts providing CFO advisory and consulting services, like the IMC Group, provide comprehensive support to Indian businesses. With strategic advice on budgeting, forecasting, and risk management, they design intelligent strategies tailored to your business. These services are available as a part of the accounting outsourcing package. Businesses also have the option to scale their CFO support as required to ensure cost efficiency.

Successful businesses must partner with an experienced outsourcing partner to improve their financial efficiency.

Singapore Family Office Going for Integrational Family Wealth

Wealth management is an extremely important endeavor for affluent families in the Asia-Pacific region.

A family office is a private wealth management firm for UHNWIs and wealthy families that oversees and manages their financial needs. The objective is to oversee familial wealth for preservation across generations.

Multi-family offices have therefore become the norm bringing in transformative partners with tailored solutions. Integrating the generational wealth with the Singapore family office can help to simplify the complex wealth management procedure.

Wealthy families in Singapore can seamlessly work towards managing their generational wealth.

You need at least US$30 million in investable assets to meet this criteria in Singapore.

Furthermore, they can get into conflict resolution, philanthropy, strategic planning, and also preserve the family values as you go ahead in generations.

Singapore Family Office: A Key Step to Holistic Wealth Management

Rich and affluent families are always on the lookout for managing their finances. Therefore a family office in Singapore can help in this diverse aspect of family wealth management. They can assist in tax planning, legal structuring, investment strategies, and lifestyle services. Each of these services contribute to better family office management services under one roof.

The Singapore Family Office opts for a very centralised approach which helps in reducing complexities. Therefore, the families can coordinate and manage their services and multiple businesses from a very centralised location. Not only does this help in better management but also plays an important role in better alignment of the financial goals.

Singapore Single Family Office Structure to Fund Management

The structure of a single family office in Singapore involves the management of assets of only a single firm. It would often involve fund management, an investment management company, fund company, advisers and professionals.

The single family office in Singapore is mostly preferred by ultra high net worth individuals and families. This exclusive type of structure can help with a wide range of things like philanthropy, succession planning, family governance, investment management, and tax reporting. Single Family Offices (SFOs) in Singapore are exempt from registering fund licenses with the Monetary Authority of Singapore (MAS) and can rely on exemptions under the Securities and Futures Act (SFA) and the Financial Advisers Act (FAA)

A Guide to Setting Up SFO in Singapore

It is important to know how to set up SFO in Singapore to avoid any potential delays in the longer run. The key steps are as follows:

Start a Single Family Office in Singapore with Minimum Investment

The family office concept in Singapore has been brought about for rich and affluent families. Therefore, this is a type of wealth management firm for UHNWIs families managing and overseeing their funds. In order to establish a single family office in Singapore, you must have a minimum investment of US$ 30 million. This must involve the exclusive management of one family’s asset and not be subjected to licensing or regulation under SFA.

Key Differences Between Single Family Office and Multi Family Office in Singapore

The role of single family offices in Singapore is to cater to the needs of one family’s business requirements. However, a multi-family office business model must consider the demands of all the family offices that it manages. Single family office is a very cost effective solution, whereas a multi family office is slightly expensive. The difference in expense is usually because of the management of interest for the families involved. The single family office business model requires the expertise only in one field, whereas for the multi family office, the expertise must be diverse to fit in everyone’s needs.

Multi-Family Offices (MFOs) Manage assets for two or more families Regulated under the Securities and Futures Act (SFA)
Single Family Offices (SFOs) Exclusive management of one family’s assets Not subject to licensing or regulation under the SFA

Singapore Single-family Office Requirements for Foreigners

As a foreigner, if you plan to establish the single family office in Singapore you will have to meet the following requirements:

Single Family Office Tax Incentives in Singapore

The Income Tax Act 1947 offers tax exemption for Singapore fund-based managers under the Fund Tax Incentive Schemes for Family Offices. The single family office tax incentives in Singapore are usually categorised in two different sections:

Enhanced Tier Fund Tax Incentives Scheme- Section 13U

Onshore Fund Tax Incentives Scheme- Section 13O

You will have to apply for the tax exemptions while starting this business to ensure no problems in the future.

Final Words

If you’re planning to start a single family office in Singapore, it can be a great investment. However, it is advisable to be familiar with the local laws and regulations. Moreover, make sure that it aligns with your long term business goals so that you don’t face any problems in the longer run. Consult IMC experts to navigate Singapore’s regulations and ensure your family office aligns with your long-term goals. Start planning today!

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