Singapore Offers Tax Incentives in Wealth Play
February 20, 2009, Financial News

Singapore will offer enhanced tax incentives to hedge funds, private equity and other investment funds, and fund managers in a bid to lure them to the country.

Sharon Hartline, a partner at White & Case in Hong Kong, said: "This is going to make Singapore even more attractive to funds and fund managers. People will look hard at Singapore as an option when the markets come back as there is now a menu of tax and regulatory reasons to invest in Singapore."

Linda Ng, counsel in White & Case's Asia-Pacific Tax Group, added: "The immediate beneficiaries of this enhanced incentive are Singapore-resident non-individual [including corporate] investors. Singapore has a range of tax incentives intended to attract off shore and on shore funds. As well as tax exemptions for investment funds, Singapore has a 10 percent concessionary tax rate for approved fund managers, with that rate falling to 5 percent for sharia-compliant activities."