5.—(1) Subject to paragraph (2), tax shall be payable at the rate of 10% on any income of an approved global trading company from —
(a)
profits from qualifying transactions in the commodities specified by the Minister, or such person as he may appoint, under regulation 3(1);
(b)
commission and fees from acting as a broker in physical trading in the commodities specified by the Minister, or such person as he may appoint, under regulation 3(1) between any of the following persons:
(i)
a person who is neither a resident of nor a permanent establishment in Singapore;
(ii)
a branch office outside Singapore of a company resident in Singapore;
(iii)
an approved oil trading company;
(iv)
an approved international commodity trading company;
(v)
another approved global trading company;
(vi)
a person who carries on the business of refining petroleum in Singapore ; or
(vii)
an approved commodity derivatives trading company;
[S 189/2008 wef Y/A 2006 & Sub Ys/A: 2008-SL-134-RG-189]
[S 593/2009 wef 24/05/2007]
(c)
income derived —
(i)
on or after 26th May 2005, from trading in over the counter freight derivatives; or
(ii)
on or after 26th May 2005 up to the basis period relating to the year of assessment 2010, from trading in exchange-traded freight derivatives,
with any of the following persons:
(A)
a person who is neither a resident of nor a permanent establishment in Singapore;
(B)
a branch office outside Singapore of a company resident in Singapore;
(C)
an Asian Currency Unit of a financial institution;
(D)
an approved oil trading company;
(E)
an approved international commodity trading company;
(F)
another approved global trading company;
(G)
a person who carries on the business of refining petroleum in Singapore;
(H)
an approved commodity derivatives trading company;
(I)
a shipping enterprise.
[S 189/2008 wef 26/05/2005]
(d)
income derived on or after 24th May 2007 from trading in over the counter freight derivatives with any person, where the trade is cleared on or after that date through the SGX AsiaClear Facility by the Singapore Exchange Derivatives Clearing Limited.
[S 593/2009 wef 24/05/2007]
(1A) Subject to paragraph (2), tax shall be payable at the rate of 5% on any income referred to in paragraph (1) of an approved global trading company which satisfies the conditions imposed by the Minister or such person as he may appoint.
[S 189/2008 wef 02/04/2008]
(2) Paragraphs (1) and (1A) shall not apply to —
(a)
any income derived from any transaction in any commodity specified in the first column of the First Schedule carried out before the date specified opposite thereto in the second column thereof; and
(b)
any income attributable to —
(i)
storage in Singapore of the commodities specified by the Minister, or such person as he may appoint, under regulation 3(1); or
(ii)
any activities carried out in Singapore which add value to such commodities by any physical alteration, addition or improvement (including refining, blending, processing or bulk-breaking).
[S 593/2009 wef 24/05/2007]
(3) Subject to paragraph (4), where liquefied natural gas is a commodity specified by the Minister or such person as he may appoint in respect of any global trading company approved under regulation 3(1), tax shall be payable at the rate of 5% on any income derived during the period from 24th May 2007 to 23rd May 2017 (both dates inclusive) by the approved global trading company from qualifying transactions in liquefied natural gas.
[S 593/2009 wef 24/05/2007]
(4) Paragraph (3) shall not apply to any income attributable to —
(a)
storage in Singapore of the liquefied natural gas; or
(b)
any activities carried out in Singapore which add value to the liquefied natural gas by any physical alteration, addition or improvement (including refining, blending, processing or bulk-breaking).