Statute Details
- Title: Income Tax (Exemption of Foreign Income) (No. 9) Order 2013
- Act Code: ITA1947-S600-2013
- Type: Subsidiary Legislation (SL)
- Authorising Act: Income Tax Act (Chapter 134)
- Enacting Formula (Power Used): Section 13(12) of the Income Tax Act
- Key Provisions: Section 1 (Citation); Section 2 (Exemption)
- Legislation Number: SL 600/2013
- Made Date: 12 September 2013
- Commencement / Relevant Date for Exemption: Dividends received in Singapore on or after 2 September 2013
- Status: Current version as at 27 March 2026
What Is This Legislation About?
The Income Tax (Exemption of Foreign Income) (No. 9) Order 2013 is a targeted tax exemption instrument made under the Income Tax Act (Chapter 134). In plain terms, it grants a specific company an exemption from Singapore tax on certain foreign-sourced dividends received in Singapore.
Unlike broad-based tax regimes that apply generally to all taxpayers, this Order is narrow in scope. It is directed at a particular corporate taxpayer—Tigris Investments Pte. Ltd.—and it concerns dividends received from a specific foreign company—AT Holdings Europe B.V., located in the Netherlands. The exemption applies to dividends received in Singapore on or after 2 September 2013.
Practitioners should view this Order as part of a wider framework under the Income Tax Act that allows the Minister for Finance to grant exemptions for foreign income in appropriate circumstances. The Order also makes clear that the exemption is not unconditional: it is subject to terms and conditions set out in a letter of approval issued to the company.
What Are the Key Provisions?
Section 1 (Citation) provides the formal name by which the Order may be cited. This is standard drafting and is mainly relevant for legal referencing and compliance documentation.
Section 2 (Exemption) is the operative provision. Sub-paragraph (1) states that Tigris Investments Pte. Ltd. is granted an exemption from tax on the dividends received in Singapore on or after 2 September 2013 from AT Holdings Europe B.V., a company located in the Netherlands. The exemption is therefore tied to three elements: (i) the recipient (Tigris Investments Pte. Ltd.), (ii) the income type (dividends), and (iii) the source payer (AT Holdings Europe B.V.) and timing (received on or after 2 September 2013).
Section 2(2) (Conditions and terms) is critical for practitioners. It provides that the exemption under sub-paragraph (1) is subject to the terms and conditions specified in the letter of approval dated 2 September 2013 addressed to Tigris Investments Pte. Ltd. This means that the exemption is conditional and may depend on compliance with requirements that are not reproduced in the Order itself.
From a legal and compliance perspective, this structure is common in Singapore tax exemptions: the subsidiary legislation grants the exemption, while the detailed conditions are typically set out in an approval letter. For advisers, the letter of approval becomes a primary document for determining whether the exemption is available for a particular dividend payment and whether any ongoing obligations (for example, reporting, documentation, or other compliance covenants) must be met.
Making and authority: The Order states it was made on 12 September 2013 by the Permanent Secretary (Finance) (Performance), Ministry of Finance, Singapore. The enacting formula indicates the Minister’s power is conferred by section 13(12) of the Income Tax Act. This confirms that the exemption is an exercise of statutory discretion under the Act, rather than a purely administrative arrangement.
How Is This Legislation Structured?
This Order is extremely concise and consists of an enacting formula and two substantive provisions.
First, it contains the citation provision (Section 1), which identifies the instrument.
Second, it contains the exemption provision (Section 2), which is divided into two sub-paragraphs: (1) the grant of exemption for specified dividends received by the specified company from the specified foreign payer, and (2) the condition that the exemption is subject to terms and conditions in a separate letter of approval.
There are no Parts, schedules, or detailed definitions in the extract provided. The practical “structure” for compliance is therefore: (i) confirm the taxpayer and income stream match the Order, (ii) confirm the timing (on or after 2 September 2013), and (iii) review the letter of approval dated 2 September 2013 to ensure all conditions are satisfied.
Who Does This Legislation Apply To?
The Order applies to Tigris Investments Pte. Ltd. as the recipient of dividends. It does not create a general exemption for all Singapore companies receiving foreign dividends. In other words, the exemption is person-specific and transaction-specific to the extent it is limited to dividends received from AT Holdings Europe B.V. (Netherlands) and received in Singapore on or after 2 September 2013.
Accordingly, other taxpayers cannot rely on this Order unless they are the named company and their dividend income falls within the described source and timing. For advisers, this means careful scoping: corporate group structures, interposed holding companies, and changes in shareholding or dividend-paying entities may affect whether the dividends are truly “from AT Holdings Europe B.V.” for the purposes of the exemption.
Additionally, the exemption is conditional on compliance with the letter of approval. Even where the recipient and payer match, failure to comply with the approval’s terms could jeopardise the exemption. Practitioners should treat the letter of approval as integral to the legal effect of the Order.
Why Is This Legislation Important?
This Order is important because it directly affects the Singapore tax treatment of foreign dividends for a named company. For corporate taxpayers, dividend taxation can materially impact effective tax rates, cash flows, and the overall structuring of cross-border investments. By granting an exemption, the Order reduces or eliminates Singapore tax on the specified dividend stream.
From an enforcement and risk perspective, the conditional nature of the exemption is equally significant. The Order explicitly ties the exemption to terms and conditions in a separate approval letter. In practice, this creates a compliance “bridge” between the subsidiary legislation and the company’s ongoing obligations. Advisers should therefore ensure that internal tax governance, documentation, and reporting processes are aligned with the approval conditions.
Finally, this Order illustrates how Singapore uses subsidiary legislation to implement targeted tax outcomes under the Income Tax Act. For lawyers advising on tax planning, corporate reorganisations, or dividend policy, it is a reminder that tax benefits may be granted through specific instruments and may not automatically transfer to other entities or other dividend sources. Any change in the corporate facts—such as changes to the dividend payer, the recipient’s identity, or the nature of the income—may require fresh analysis or even a new approval.
Related Legislation
- Income Tax Act (Chapter 134) — in particular, section 13(12) (the authorising provision for the Minister’s power to grant exemptions)
- Income Tax (Exemption of Foreign Income) Orders (general category of subsidiary legislation granting exemptions for foreign income in specified circumstances)
Source Documents
This article provides an overview of the Income Tax (Exemption of Foreign Income) (No. 9) Order 2013 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.