Apportionment of expenses, allowances and donations
12.—(1) For the purpose of determining the income mentioned in regulation 8(2), all of the following for which a deduction is allowable to an approved insurer under the Act, are to be apportioned between the general business in Singapore (excluding specified general business) of the insurer and the specified general business of the insurer:
(a)
any item of expenditure not directly attributable to the general business in Singapore (excluding specified general business) of the insurer;
(b)
capital allowances;
(c)
donations.
(2) For the purpose of paragraph (1), the portion of expenditure, capital allowances and donations to be apportioned to the general business in Singapore (excluding specified general business) of the approved insurer is that ascertained using the fraction where “Pig”, “Pigx”, “Pog” and “Pogx” have the same meanings as in regulation 8(3).
(3) For the purpose of determining the income mentioned in regulation 9(2), all of the following for which a deduction is allowable to an approved marine hull and liability insurer under the Act, are to be apportioned between the marine hull and liability insurance and reinsurance business in Singapore of the insurer and the other general businesses in Singapore of the insurer:
(a)
any item of expenditure not directly attributable to the marine hull and liability insurance and reinsurance business in Singapore of the insurer;
(b)
capital allowances;
(c)
donations.
(4) For the purpose of paragraph (3), the portion of expenditure, capital allowances and donations to be apportioned to the marine hull and liability insurance and reinsurance business in Singapore of the approved marine hull and liability insurer is that ascertained using the fraction where —
(a)
“Pig” and “Pog” have the same meanings as in regulation 8(3), with each reference to approved insurer substituted with the reference to approved marine hull and liability insurer; and
(b)
“Pim” and “Pom” have the same meanings as in regulation 9(3).
(5) For the purpose of determining the income mentioned in regulation 10(4), all of the following for which a deduction is allowable to an approved specialised insurer under the Act, are to be apportioned between the specialised insurance business in Singapore of the insurer and the other general businesses in Singapore of the insurer:
(a)
any item of expenditure not directly attributable to the specialised insurance business in Singapore of the insurer;
(b)
capital allowances;
(c)
donations.
(6) For the purpose of paragraph (5), the portion of expenditure, capital allowances and donations to be apportioned to the specialised insurance business in Singapore of the approved specialised insurer is that ascertained using the fraction where —
(a)
“Pig” and “Pog” have the same meanings as in regulation 8(3), with each reference to approved insurer substituted with the reference to approved specialised insurer; and
(b)
“Pis” and “Pos” have the same meanings as in regulation 10(5).
(7) For the purpose of determining the income mentioned in regulation 11(3), all of the following for which a deduction is allowable to an approved captive insurer under the Act, are to be apportioned between the captive general business in Singapore (excluding specified captive business) of the insurer and the other general businesses in Singapore of the insurer:
(a)
any item of expenditure not directly attributable to the captive general business in Singapore (excluding specified captive business) of the insurer;
(b)
capital allowances;
(c)
donations.
(8) For the purpose of paragraph (7), the portion of expenditure, capital allowances and donations to be apportioned to the captive general business in Singapore (excluding specified captive business) of the approved captive insurer is that ascertained using the fraction where —
(a)
“Pig” and “Pog” have the same meanings as in regulation 8(3), with each reference to approved insurer substituted with the reference to approved captive insurer; and
(b)
“Picx” and “Pocx” have the same meanings as in regulation 11(4).
(9) The Comptroller may apply any alternative method of apportionment in place of any of the prescribed fractions in paragraph (2), (4), (6) or (8) if the Comptroller is satisfied that the alternative method is reasonable in the circumstances of the business of the insurer mentioned in that paragraph.