Weekly tax updates 03-03-23

Tax Thursday: Singapore Budget 2023 Key Tax Changes

Snapshot of Key Tax Changes Announced in Singapore Budget 2023

  • Singapore plans to implement the Global Anti-Base Erosion Rules and Domestic Top-Up Tax from the financial year starting on or after January 1, 2025.
  • A New Enterprise Innovation Scheme for Years of Assessment 2024 to 2028 has been introduced to encourage Research and Development (R&D), innovation, and capability development activities carried out in Singapore, with tax deductions/allowances of up to 400%, and a cash conversion option.
  • An accelerated claims option is available for Year of Assessment 2024 on capital expenditure incurred on fixed assets and renovation and refurbishment expenses incurred on premises.
  • The double tax deduction under the Internationalisation scheme has been enhanced to cover a new activity: “e-commerce campaign.”
  • New stamp duty rates have been introduced for both higher value residential and non-residential properties to make the stamp duty regime more progressive.
  • Vehicle taxes have been enhanced such that the additional registration fees for higher value vehicles will be increased.
  • Excise duties will be raised by 15% across all tobacco products.

To do
Businesses operating in Singapore and individuals living in Singapore should consider these key tax changes that have been recently announced in the Budget 2023. It is important to assess how they are impacted or to utilize any tax benefits from new or enhanced measures announced.


If you have any questions, please contact us at [email protected], or visit our Singapore Budget 2023 Resource Centre here, for more information.