For many reasons, Singapore is referred to as a tax haven because of its favorable fiscal regime and highly developed infrastructure for international business. This view may not be shared by critics who perceive Singapore as an international business center and not a low tax jurisdiction or offshore tax haven. But indeed, Singapore has positive features which simultaneously reveal the distinct traits of an emerging economy and appealing tax haven. These include a low tax regime, an attractive suite of fiscal incentives supported by a dynamic legislative framework, innovative free market policies and a propulsive business outlook which engages both local and foreign entrepreneurship on a level playing field.

In further support of Singapore tax haven status is Singapore’s fiscal regime which has been specially designed to accommodate Singapore offshore and domestic companies and entrepreneurs. As a tax haven Singapore fully encourages international trade; and despite the absence of an offshore regime, free access to external trade and commerce is granted to both overseas and Singaporean residents who are legally capable of setting up resident or nonresident (offshore) Singapore companies.

To add to this, tax haven Singapore does not levy tax on international income. This means that income is taxed based on whether or not it qualifies as income originating in or outside Singapore. Given that foreign source income is not subject to income tax in tax haven Singapore, offshore profits are tax exempt. A Singapore offshore company can therefore conduct its affairs as a regular international business and effectively house international corporate profits in a tax exempt entity. However, foreign sourced income may or may not be taxed if remitted to Singapore depending on whether such income was already taxed in another jurisdiction. To be exempt from income tax in Singapore, any income remitted to Singapore would have had to be subject to a headline tax rate of at least 15% in the country of origin or by at least one of the countries through which the funds were transferred. So, income of a Singapore offshore company may have passed through Britain and Italy before arriving in Singapore and to be tax exempt, either Italy or Britain would have had to impose levy a tax rate of no less than 15%. If the funds were not taxed in either country, they would be subject to taxation in Singapore. Nevertheless, to ensure that offshore companies are not double taxed, provisions to grant tax credits are established by the Inland Revenue Authority of Singapore (IRAS) regardless of whether Singapore has a DTA with the country where the taxes were levied or not.

This fiscal regime is straightforward and advantageous to Singapore offshore companies as it complies with international standards for taxation. Tax haven Singapore offshore companies therefore have the advantage of banking their offshore profits in tax haven Singapore as a leading, secure and well regulated financial centre, while at the same time enjoying greater chances of being quickly accepted in anti-tax haven countries, holding an offshore corporate account in a jurisdiction of choice, expanding across borders and entering new markets.

In 2007, PERC (Political and Economic Risk Consultancy), a consultancy firm dedicated to business analysis and information for companies with business interests in Southeast and East Asia, stated that tax haven Singapore had maintained its position as the least rich country in Asia, and in 2008 was named as having the best judicial system after Hong Kong among other Asian countries. For further support and information, questions may be forwarded to the contact page. Additional services include Belize company formation with other offshore services and agent support for Economic Citizenship Program which provides a remarkable opportunity for applying for a second nationality. To get information on how to apply simply visit the contact link. A family option is designed for families as well as private investors.

Besides having an advanced international financial climate, tax haven Singapore attracts significant investments in medical technology and pharmaceuticals which play an important role in building a diversified economy and presenting Singapore onshore and offshore companies a host of business ideas and niche markets. In tax haven Singapore, the service sector has shown positive trends of growth and has stimulated the hope that as a tax haven Singapore is established as the financial and high-tech hub of Southeast Asia through increased exports IT products and consumer electronics. Depending on the intentions and requirements of an investor or entrepreneur, a list of corporate forms can be chosen from: limited and general partnerships, private limited liability companies, foreign company offices and LLC’s. Any of these tax haven Singapore companies are ideal as offshore companies if utilized and managed effectively.

In November 2009, the Corruption Perceptions Index released by Transparency International ranked tax haven Singapore among the least corrupt countries, placing New Zealand at the top and Singapore in third position after Denmark. In contrast to countries scoring the lowest, tax haven Singapore’s infrastructure, democratic system, low incidence of fraud and bribery were some positive factors which highlighted tax haven Singapore as a free-market but upright economy.