Income Tax (Further Deduction for Expenses Incurred in Relocation or Recruitment of Overseas Talent) (Amendment) Regulations 2004

Status:

Published in Subsidiary Legislation Supplement
on 25 Mar 2004

No. S 129

Income Tax Act

(Chapter 134)

Income Tax (Further Deduction for Expenses Incurred in Relocation or Recruitment of Overseas Talent) (Amendment) Regulations 2004

In exercise of the powers conferred by section 14L of the Income Tax Act, the Minister for Finance hereby makes the following Regulations:

Citation and commencement

1. These Regulations may be cited as the Income Tax (Further Deduction for Expenses Incurred in Relocation or Recruitment of Overseas Talent) (Amendment) Regulations 2004 and shall be deemed to have come into operation on 28th February 2003.

Amendment of regulation 2

2. Regulation 2 of the Income Tax (Further Deduction for Expenses Incurred in Relocation or Recruitment of Overseas Talent) Regulations (Rg 3) is amended —

(a)

by deleting the word “and” at the end of paragraph (a) of the definition of “prescribed expenses”;

(b)

by deleting the semi-colon at the end of paragraph (b) of the definition of “prescribed expenses” and substituting the word “; and”, and by inserting immediately thereafter the following paragraph:

“(c)

in relation to the bringing to Singapore of —

(i)	the spouse; or
(ii)	any unmarried child (below the age of 21 years),

of a prescribed employee who is issued a P1 or P2 employment pass or is approved to be of such an equivalent employment status, the following expenses incurred on or after 28th February 2003:

“(A)	one-way air fare to bring to Singapore the employee’s spouse, subject to a maximum of $5,000;
(B)	one-way air fare to bring to Singapore up to 2 such unmarried children of that employee, subject to a maximum of $2,500 for each child.”;

(c)

by deleting paragraph (b) of the definition of “recruitment expenses” and substituting the following paragraph:

“(b)

return air fare incurred —

(i)	in bringing the prescribed employee for recruitment interviews; or
(ii)	for sending a person overseas to interview the prescribed employee for employment in Singapore;”; and

(d)

by deleting paragraph (b) of the definition of “relocation expenses”.

Amendment of regulation 3

3. Regulation 3 of the Income Tax (Further Deduction for Expenses Incurred in Relocation or Recruitment of Overseas Talent) Regulations is amended —

(a)

by deleting the words “30th September 2003” in paragraph (1) and substituting the words “30th September 2008”;

(b)

by deleting paragraph (2) and substituting the following paragraph:

“(2) For the purposes of the further deduction to be allowed to any person under paragraph (1) in respect of any prescribed employee —

(a)	the further deduction of the expenses under paragraph (c) of the definition of “prescribed expenses” shall only be allowed if the deduction of those expenses is claimed within one year from the date the employee’s spouse or child is brought to Singapore, as the case may be; and
(b)	where the person is a recipient of any grant given under any Government assistance scheme to offset the recruitment or relocation expenses incurred in respect of the prescribed employee, the amount of further deduction to be allowed under that paragraph shall be reduced by the amount of the grant.”;

(c)

by deleting “$150,000” in paragraph (3) and substituting “$275,000”; and

(d)

by deleting “$150,000” in paragraph (4) and substituting “$275,000”.

[G.N. No. S 120/2002]

Made this 19th day of March 2004.

LIM SIONG GUAN

Permanent Secretary,
Ministry of Finance,
Singapore.

[MF(R60.3.002 Vol.4); AG/LEG/SL/134/2002/4 Vol. 1]

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