In February 2020, the Minister of Finance unveiled a $4 billion Stabilisation and Support Package. It contains a range of measures to help Singapore’s businesses and workers as they face the economic impact of COVID-19.
The highlights of the Package’s schemes include:
- Jobs support scheme. Employers will receive an 8% cash grant on the gross monthly wages of each local employee (applicable to Singapore Citizens and Permanent Residents only) for the months of October 2019 to December 2019, subject to a monthly wage cap of $3,600 per employee.
- Enhancement to Wage Credit Scheme. Employers will receive increased payouts for qualifying wage increases. The gross monthly wage ceiling has increased from $4000 to $5000.
- Corporate Income Tax (CIT) Rebate. A CIT rebate of 25% of tax payable (capped at $15000).
- Enhancements of Tax Treatments under the Corporate Tax System.
- Enhancements to Enterprise Financing Scheme – SME Working Capital Loan.
- There are also sector-specific support schemes covering the hotel, retail, food services, tourism and air transport industries.
Businesses will not need to apply for items 1 to 4 and the payouts/rebates will be automatically granted. You can find more details about the Stabilisation and Support Package here.
A Supplementary Budget will be announced on 26 March 2020. If you would like our advice on how the Package can benefit you, please get in touch.
In this fast-changing situation, we recommend you keep up to date with our latest Coronavirus insights and advice.
Updated as of 25 March 2020 at 11.10.