Are you thinking of applying for a Singapore Certificate of Residence (COR) for your company? Or you have tried but was unsuccessful in obtaining your Singapore Certificate of Residence from the Inland Revenue Authority of Singapore (IRAS)?
NovoPlus is here to help! In order to obtain a Singapore certificate of residence, the Inland Revenue Authority of Singapore must be recognise your company as a Singapore tax resident company.
Conditions to be a Singapore tax resident company
For your company to be considered a Singapore tax resident company, the most important thing is to prove that the management and control of your company is carried out in Singapore.
You can be a foreign held Singapore investment holding company, a Singapore branch of a foreign company or even an operating company in Singapore. If you are unable to prove to the IRAS that the management and control is carried out in Singapore, you will be unlikely to obtain a Singapore Certificate of Tax Residence.
Other than management and control, the IRAS also looks at other conditions including but not limited to the following:
- Having related companies in Singapore that are Singapore tax residents.
- Receive services from a related company in Singapore.
- Having key employee(s) based in Singapore.
- Have director in Singapore who is not a nominee director.
- Strategic decisions are made in Singapore by the directors.
Virtual / Video Meetings
To move with time, the IRAS has recently allowed the use of virtual meeting technology for Board of Directors meetings. The IRAS will generally regard that strategic decisions discussed / decided during such meetings to be made in Singapore either of the following conditions are met:
- At least 50% of the directors (with the authority to make strategic decisions) are physically in Singapore during the meetings; or
- Chairman of the Board of Directors (if the company has such an appointment) is physically in Singapore during the meeting.
Please note that virtual meeting technology means any technology that allows a person to participate in a meeting without being physically present at the place of meeting.
We have plenty of experience providing guidance to companies to strengthen their Singapore tax residency status and successfully obtaining a Singapore Certificate of Residence for the companies.
NovoPlus can help
If the above seems too confusing and you have questions, we are here to help.
Our team of experienced tax consultants with a proven track record is happy to assist you. We will understand your current tax residency position and provide our tax advice on how to apply the Singapore tax residency rules to strengthen your company’s Singapore tax residency going forward in order to successfully obtain a Singapore Certificate of Residence. We will guide you through every step of the way.
Please feel free to contact us at finance@novopluscorp.com or reach out to us on Whatsapp using the button on the right of the website to chat.
Last Updated on 28/05/2024 by Dennis Chew