Costing S$475 million over two years, Finance Minister Heng Swee Keat today (Feb 19) announced that corporations will enjoy double the corporate tax rebate from 20% to 40% of tax payable. The rebate cap is also increased 50% from S$10,000 to S$15,000.
Companies will also be paid a total of S$1.8 billion over three years by the government to raise wages. The Wage Credit Scheme subsidising wage increases for Singaporean employees earning up to $4,000 monthly, extend 20 per cent co-funding for 2018, 15 per cent for 2019 and 10 per cent for 2020.
The total amount enjoyed by the corporations will total S$2.27 billions. Temasek Holdings and hundreds of it’s subsidiaries are expected to be the biggest benefactor of the new government rebates.