Incorporation of company (local/foreign)

Whitesleeves provides Company incorporation Services, regardless if you are a local or foreign director. We will advise and arrange for a tax planning for your company's best tax planning practice in accordance to statutory requirements so that you can run your business with a peace of mind.

 

Why expand into Singapore? 

1)

- Multiple tax exemptions and easy on profits

The Full Tax Exemption (FTE) exempts newly incorporated startups from paying tax on their first S$100,000 of chargeable income for their first three consecutive years of assessment. For the subsequent three years, the exemption is 75% of the same amount.
 

The Partial Tax Exemption (PTE) applies to startups not qualifying for the FTE. It gives a 75% exemption on the first S$10,000 of chargeable income and a 50% exemption on the next S$290,000 for all assessment years.
 

The Start-Up Tax Exemption (SUTE) is specifically designed for startups that meet certain conditions, including those related to the Singapore GST tax. It gives qualifying startups with a 75% exemption on the first S$200,000 chargeable income for their first three consecutive years of assessment.

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2)

No dividend tax on corporate dividend income. 

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3)

One of the lowest corporate tax rate of 17% in south east asia. 

 

 

4)

Extremely stable policy and government governance. 

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5) 

Will I be taxed when i remit my income back to my country? 

It depends, however generally it is still very much worth it. 

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We have summarized some information of dividend tax of asean countries

 

MALAYSIA

A tax-resident is taxed on income derived from Malaysia and foreign-sourced income remitted to Malaysia, except for the following foreign-sourced income received in Malaysia (subject to conditions): 

Dividend income received by resident companies and limited liability partnerships.
All classes of income received by resident individuals, except for resident individuals who carry on business through a partnership.
Income of a resident company from the business of air/sea transport, banking, or insurance is taxed on a worldwide basis.

Taxation on a worldwide basis does not apply when income attributable to a Labuan business activity of a Labuan branch or subsidiary of a Malaysian bank is subject to tax under the Labuan Business Activity Tax Act 1990. This exception will not apply if the Labuan entity has made an irrevocable election to be taxed under the Income Tax Act 1967 in respect of its Labuan business activity.

Relief from double taxation is available by means of a bilateral credit if there is a governing tax treaty or unilateral relief where there is no treaty. The relief is restricted to the lower of Malaysian tax payable or foreign tax paid if there is a treaty, or one-half of the foreign tax paid if there is no treaty.

Undistributed income of foreign subsidiaries is not taxable.

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INDONESIA

In principle, dividend income received by a resident taxpayer from a domestic limited liability company (generally referred to as a Perseroan Terbatas or PT) constitutes taxable income. However, it becomes non-taxable if the recipient is domestic corporate taxpayers or domestic individual taxpayers whose dividends are reinvested in Indonesia within a certain period. Where the recipient is not resident in Indonesia, a WHT rate of 20% applies, subject to variation by tax treaties (see the Withholding taxes section for more information).

Dividends paid by companies abroad received by domestic taxpayers may be exempted if the dividends are reinvested or used for business activities in Indonesia within a certain period.

The same rules apply to stock dividends (bonus shares), including dividends paid out of share premium (agio).

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THAILAND 

Dividends received from foreign investments are exempt from tax if the Thai company receiving the dividends holds at least 25% of the shares with voting rights of the company paying the dividends for a period of not less than six months before the date on which the dividend was received and the dividend was derived from the net profit in the foreign country taxed at a rate of not less than 15%. In the event that a ‘special law’ in a particular foreign country provides a reduced tax rate or exemption for the net profit, the limited company that receives the dividends is still eligible for the tax exemption.

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We suggest calling us for consultation before proceeding. 

Our Incorporation Services would include:
- Appointment of officer as Company Secretary
- Appointment of officer as Company Nominee Director

- Providing a full time accountant to handle to invoicing, payment and accounting updates. 
- Setting up and maintenance of Statutory Registers
- Issue of Share Certificates
- Procurement and Safe-Keeping of one (1) Company Seal
- Assistance to open a bank account
- Advising on AGM dates
- Preparation of notice and minutes of AGM
- Filing of Annual Returns

Is it compulsory for my company to appoint a secretary?
- Yes. Every company must appoint a secretary within 6 months from the date of its incorporation.

Want to diversify your business into Singapore Why not give us a call and let us help you out.