Introduced a new Refundable Investment Credit (RIC) to promote FDI
16 Feb 2024
On 16 February 2024, the Government of Singapore introduced a new Refundable Investment Credit (RIC) for investment promotion. The RIC encourages companies to make sizeable investments that bring substantive economic activities to Singapore, in key economic sectors and new growth areas. Supported activities include investing in new productive capacity, such as manufacturing plants; expanding or establishing the scope of activities in digital services; and expanding or establishing headquarter activities.
To support RIC, the Government will top up the National Productivity Fund by approximately $1.5 billion. The Economic Development Board (EDB) and Enterprise Singapore will award the RIC based on qualifying expenditures incurred by the company in respect of a qualifying project, during a period of up to 10 years. Qualifying expenditures are dependent on project type and include capital expenditure, manpower costs, training costs, professional fees, and intangible asset costs, among others. The credits are to be offset against the corporate income tax payable. Any unutilised credit will be refunded to the company in cash within four years from when the company satisfies the conditions for receiving these credits.
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Type:
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Promotion and facilitation (Investment incentives)
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Industry:
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Not industry specific
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Manufacturing
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Services (Computer programming, consultancy and related activities, Other professional, scientific and technical activities, Administrative and support service activities)
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Sources:
