When you've decided to start your own business, but your financial resources are limited or simply want to make cost-effective choices, it's very important to calculate and analyze the costs the company is about to make. Under these circumstances, tax planning comes into play, especially if the company is undertaking business operations in various jurisdictions or if it’s part of a group structure.
Singapore has concluded a great number of double taxation avoidance treaties with most industrialized countries from all over the world in order to avoid further tax burdens.
Tax rates vary considerably in Singapore depending on different types of companies. For example, holding companies, mixed companies or domicile companies benefit from certain tax privileges and can apply for tax deductions.
Taxes are levied on the taxable net profit of a company and on the paid up share of the foundation capital for each founding member. In addition, hidden and disclosed reserved are also subject of taxation. Some companies can claim tax deductions in certain cases, for example holding companies. This is one of the main reasons why tax planning must be externalized to a specialized firm or assigned to a specialized company department to ensure compliance with regulations in order at federal and cantonal level.
The tax planning services provided by our firm include, but are not limited to:
- Tax planning, tax optimization and consulting
- Local representation before Singapore tax authorities
- Accounting of Singapore companies
- Creation and submission of Singapore tax returns