Government measures in key jurisdictions 2nd edition final pages - Flipbook - Page 81
Singapore
7
8
Tax
•
Has any new
legislation been
introduced in light •
of COVID-19?
Company
law matters
Automatic Deferment of Corporate Income Tax (CIT) Payments: To ease the cash flow for
businesses during the COVID-19 pandemic, companies have been granted an automatic
deferment of income tax payments for 3 months. No application is required.
Support for the Self-Employed: To support self-employed persons, personal income tax
payments due in May, June and July 2020 will be deferred automatically for 3 months this
is also the case for one-time income tax payments. No application is required.
•
Support for Employees: Employees may apply to defer income tax payments due in May,
June and July 2020 for a period of 3 months. For employees making lump sum payments,
such payments may also be deferred by 3 months upon application.
•
Extension of deadline for holding Annual General Meetings and filing Annual Reports: On
7 April 2020, the Accounting and Corporate Regulatory Authority (“ACRA”) announced a
60-day extension of time for all listed and non-listed companies to hold their annual general
meetings (“AGMs”) and file their annual returns (“ARs”). The Singapore Exchange Regulation
(“SGX RegCo”) also announced that it would automatically extend the deadline by 60 days
for all issuers with financial year-end on or before 31 March 2020 to hold their AGMs.
Have any measures
been put in place
to accommodate
social distancing
•
(such as remote
general meetings)?
Alternative arrangements for AGMs which proceed: On 7 April 2020, the COVID-19
(Temporary Measures) Act was enacted by Parliament. One of the provisions state that
a relevant meeting or class of meetings held on or after 27 March 2020 that complies
with alternative arrangements prescribed under the new law will be deemed to satisfy
any requirements for the convening, holding or conduct or deferral of such meetings
under the relevant written law or legal instrument.
•
On 13 April 2020, the COVID-19 (Temporary Measures) (Alternative Arrangements for
Meetings for Companies, Variable Capital Companies, Business Trusts, Unit Trusts and
Debenture Holders) Order was gazetted. The Order sets out alternative arrangements to
personal attendance in respect of certain classes of meetings, which include, inter alia,
general meetings of companies. Personal attendance can be via electronic means instead.
•
On 27 April 2020, the COVID-19 (Temporary Measures) (Alternative Arrangements
for Meetings) (Corporate Insolvency) Order (“Insolvency Order”) was gazetted,
prescribing alternative arrangements for conducting meetings in respect of insolvency
matters of companies, limited liability partnerships and variable capital companies.
The COVID-19 (Temporary Measures) (Alternative Arrangements for Meetings)
(Bankruptcy) Order (“Bankruptcy Order”) was gazetted as well, prescribing alternative
arrangements for conducting meetings in respect of bankruptcy matters. The Orders
grant broad flexibility to convenors to either hold meetings virtually, or to deter
holding meetings under 30 September 2020. However, the Orders do not apply to all
meetings. For example, the Insolvency Order does not apply to, inter alia, any meeting
held pursuant to an order or a direction of the High Court under section 210(1) of the
Singapore Companies Act – meetings of creditors and members in relation to the
proposal of a compromise or arrangement.
•
The Singapore Stock Exchange is also providing a grant of SGD5,000 per issuer that
can only be used for the purpose of implementing COVID-19 measures for AGMs.
This ‘AGM Facilitation Grant’ will cover all AGM-related expenses incurred between
16 March 2020 and 15 March 2021, such as augmenting physical AGMs with video
conferencing, additional logistics such as on-site temperature taking or pre-AGM
shareholder communication, amongst others.
Government measures in key jurisdictions
81