Home Add to Favorite Contact Submit  
           17 January, 2021


    
Category:  Press » Business

 

Singapore Tax More Attractive Than Malaysia, According To a Recent Study

Popularity:
         Views: 2618
2009-10-07 06:27:27     
ToddCooper

A recent report of taxes in Singapore vs Malaysia indicates that Malaysian based companies and entrepreneurs can achieve substantial tax savings by relocating to Singapore.

The report highlights the significant difference between the corporate income tax rates of Singapore and Malaysia. Singapore's corporate income tax rate is less than 9% for profits up to S$300,000 and flat 17% above S$300,000. In comparison, Malaysia resident companies are subject to a significantly higher corporate tax rate of 25%.

According to the report, Singapore offers more attractive incentives to support entrepreneurship and foster the growth of SMEs as compared to Malaysia. In Singapore, a newly incorporated company that satisfies certain qualifying conditions enjoys full tax exemption (i.e. 0% tax rate) on the first S$100,000 of taxable income for each of its first three tax filing years. In Malaysia, SMEs with a paid-up capital of RM 2.5 million or less are subject to a corporate tax rate of 20% for the first RM 500,000 of taxable income and 25% on the remaining taxable income.

The report also contrasts Singapore's Goods and Services Tax (GST) and Malaysia's sales tax and services tax. Singapore resident companies must register for GST when the annual turnover is above or expected to be above 1 million SGD. The GST rate in Singapore stands only at 7%. Malaysia on the other hand currently imposes a service tax and sales tax on certain prescribed goods and services. Malaysia resident companies with an annual turnover of more than RM 100,000 must register for sales tax. Sales tax presently stands at 10% and the service tax (imposed on F&B, tobacco, health services, provision of accommodation and most professional and consultancy services) is currently 5%.

Singapore and Malaysia follow a single-tier corporate income tax system, whereby tax paid by a company on its profits is the final tax and all dividends paid to its shareholders are exempt from further taxation. With the development of international trade and MNCs, double taxation is an area that has gained importance. Both Singapore and Malaysia currently have more than 50 DTAs providing specific guidelines for double taxation relief.

According to Andrew Chen, a spokesperson from the Singapore information portal that released the tax report, "we find more foreign entrepreneurs and investors turning to low tax countries to set up or relocate their business operations, especially in the current economic environment. Singapore is emerging as a preferred destination due to its low corporate tax rates and highly attractive incentives for start-ups. Businesses are also taking notice of its GST rate which is significantly low and well below the Asia-Pacific average of 10.5%. Although Malaysia may qualify as a reasonably tax friendly jurisdiction, many foreign entrepreneurs and investors find it unattractive due its high corporate income tax rates and complex indirect tax system."

The report reaffirms Singapore's position as a tax friendly jurisdiction for Malaysian based companies and business professionals.

Specialized in: Singapore Company - Singapore Corporation - Singapore Incorporation
URL: http://www.guidemesingapore.com
Print press release      Bookmark this page
Related Press releases 
Sales Territory Mapping Company Educates On Sales Territory Management (Popularity: ): Wake Forest, North Carolina ( press.abc-directory.com ) September 1, 2020 - Geographic Enterprises, a sales territory mapping company, has recently released a new educational resource that focuses on how to manage sales territories. The new article can be found on the company's website. The article is guided by the sales mapping company's experience helping provide smart technology that can improve any organization's efforts when planning their efforts and approach to ...
New Program Introduced for Keeping Home Cooling Systems Running All Summer (Popularity: ): Atlanta, GA - USA | July 31, 2020 -- Spring has sprung, and the weather is finally getting nicer. Beautiful days are upon us, the trees are in bloom, and if it weren’t for the COVID-19 epidemic, we’d be spending a lot more time outside.The seasons change every year, and yet every year, there’s someone whose HVAC system breaks down during the hot summer months because they didn’t get proper ...
New York AC Company Publishes Guide On How To Find A Refrigerant Leak (Popularity: ): Manhattan, New York ( press.abc-directory.com ) July 21, 2020 - Cool Works Co., Inc, a New York AC company, recently released a new informational article that discusses the process on how to find a refrigerant leak. The blog was designed to help educate commercial building managers on how they can identify any leaks as well as how to safeguard against them in the future. The company designed the article to ...
Chantilly Fire Damage Restoration Company Discusses Roof Tarping (Popularity: ): Chantilly, Virginia ( press.abc-directory.com ) July 21, 2020 - A Chantilly fire damage restoration company, Monumental Contractors, recently released a new educational resource on their website regarding roof tarping and why it is important for storm damage restoration procedures. The contractors hope this new article will be used by homeowners and contractors as an informational tool that helps them understand what roof tarping is and how it is used during ...
Tarjs is Pleased to Announce the Launch of New Website (Popularity: ): Muscat, Oman (press.abc-directory.com) April 30, 2020 - Tarjs is pleased to announce the launch of our brand new website! After several months of hard work and dedication, Tarjs has officially launched the website. The company’s aim was to create a new website that is faster, easier to navigate, and more user-friendly.With this new website, visitors can learn about Tarjs services and solutions. The new website is interactive and gives better ...

Press release home snapshot 


Related Business 
Hotels In Singapore (Popularity: ): Singapore is trying to increase its tourism above 10 million a year by becoming more competitive & attractive than the neighboring countries like Malaysia, Thailand. Government has legalized gambling in parts of the country & coming up different & innovative ideas like celebrating Singapore Food Festival, Singapore Sun Festival, the Christmas Light Up and the Singapore Jewel Festival.
Bus Online Ticket (Popularity: ): BusOnlineTicket.com is a ONE STOP ONLINE BUS TICKETS BOOKING PORTAL for several express bus companies in Singapore and Malaysia. Our coaches cover route within Malaysia and between Singapore and Malaysia. A comprehensive guide on all express bus companies which provides bus service from Singapore to Malaysia.
Singapore Employment Pass Application (Popularity: ): We are leading Tax Advisory Services provider in Singapore providing full range of Tax Compliance Services, integrated tax services which lets you pursue cost and time efficiency Service tax compliance, we offer Tax Advisory Services by our prestige and experienced Tax Advisory services Team that provides advice and assistance.
Online Bus Booking (Popularity: ): Online Bus Tickets Booking makes mobility between Singapore, Malaysia, and Thailand easier with the premium online bus booking services. With several express bus companies in Singapore and Malaysia listed at this portal, you can easily book a bus to your destination within Malaysia and Thailand.
Singapore Tour Packages (Popularity: ): We introduce ourselves as an online travel company. Having been in the travel industry for several years we offer travel services and holiday packages to Singapore. Our travel activities are centered in and on Singapore. We specialize in Singapore travel packages like honeymoon packages, vacation packages and so on. Other countries like Malaysia and Thailand are also combines with Singapore to make a great package.
Hotel Deals Singapore (Popularity: ): The hospitality arm of Singapore’s largest private property developer Far East Organization, we are one of the biggest operators of hotels and serviced residences in Singapore. In our current portfolio are seven distinctive hotels and 10 exclusive serviced residences in Singapore, and the elegant Sri Tiara residences in Kuala Lumpur, Malaysia.
BusOnlineTicket.com Pte Ltd. (Popularity: ): BusOnlineTicket.com is a ONE STOP ONLINE BUS TICKETS BOOKING PORTAL for several express bus companies in Singapore and Malaysia. Our coaches cover routes within Malaysia and between Singapore and Malaysia. Our coaches operate and departs from Singapore (Golden Mile Complex, Key Point, City Plaza), Kuala Lumpur (Berjaya Times Square, Puduraya Bus Terminal, Terminal Bersepadu Selatan), Penang (Prangi Mall, Sungai Nibong), Malacca (Melaka Sentral), Johor Bahru (Larkin), Seremban (Seremban Bus Terminal ...
Study Overseas Global Pvt. Ltd. (Popularity: ): Study Overseas Global is India's largest overseas education consultancies provides counselling for study in singapore. An official representative of Universities in singapore. select Best Courses and Get Free Immigration Consultancy. Our network of 15 offices is manned with a staff of more than 150 experienced personnel.
Malaysia-Taiji.Com Taiji (Popularity: ): A resource for Malaysia and Singapore. Includes articles and lists of instructors in the area. In English and Chinese.
Singapore Hotels & Serviced Residences (Popularity: ): The hospitality arm of Singapore’s largest private property developer Far East Organization, we are the largest operator of hotels and serviced residences in Singapore. In our current portfolio are seven distinctive hotels and 10 exclusive serviced residences in Singapore, and the elegant Sri Tiara residences in Kuala Lumpur, Malaysia.