Statute Details
- Title: Income Tax (International Tax Compliance Agreements) (Country-By-Country Reporting) Regulations 2018
- Act Code: ITA1947-S75-2018
- Type: Subsidiary Legislation (SL)
- Enacting / Authorising Act: Income Tax Act (Cap. 134), powers conferred by section 105P
- Citation: SL 75/2018
- Commencement: 5 February 2018
- Status: Current version (as at 27 March 2026)
- Key Regulations: Regulations 1–5 (with key obligations in Regulations 4–5)
- Key Definitions: “authorised person”, “constituent entity”, “country-by-country report”, “ultimate parent entity”, “Type A group”, “Type B group”
- Notable Amendments (from timeline): S 869/2021; S 669/2022; S 147/2023
What Is This Legislation About?
The Income Tax (International Tax Compliance Agreements) (Country-By-Country Reporting) Regulations 2018 (“CBCR Regulations”) implement Singapore’s country-by-country reporting (CBCR) obligations for multinational enterprise (MNE) groups. In plain language, the Regulations require certain large multinational groups to provide the Singapore tax authority with a structured report showing, for each tax jurisdiction where the group operates, key indicators such as revenue, profit (loss), taxes paid, and certain indicators of where economic activity occurs.
CBCR is designed to help tax administrations assess transfer pricing risks and other international tax risks. It is not, by itself, a tax assessment or a determination of whether a group has paid the “right” amount of tax. Rather, it supplies information that can be used to target audits, evaluate whether profits are aligned with economic activity, and support international cooperation between tax authorities.
These Regulations sit alongside the Income Tax Act provisions on international tax compliance agreements. They define which groups fall within scope, who must file, when they must file, and how record-keeping and certain special exemptions operate.
What Are the Key Provisions?
1. Definitions and scope of “Type A” and “Type B” groups (Regulation 2). The Regulations adopt a classification that determines whether an MNE group is treated as a “Type A group” or a “Type B group”. This matters because the identity of the “ultimate parent entity” and the filing mechanics differ.
A Type A group is a group of entities related through ownership or control such that the group is required (or would have been required) to prepare consolidated financial statements under specified accounting standards (including FRS 110 or SFRS(I) 10 or equivalent standards). The Regulations further specify that, for an accounting period, the Type A group must meet quantitative and residency conditions: it must have consolidated group revenue of at least $1,125 million (or equivalent) in the immediately preceding accounting period, and it must have two or more entities resident for tax purposes in different countries.
A Type B group is a single entity with one or more permanent establishments. For an accounting period, it must have revenue of at least $1,125 million (or equivalent) in the immediately preceding accounting period, and it must be resident for tax purposes in one country while also being subject to income tax (or similar tax) with respect to business carried out through a permanent establishment in another country.
The Regulations also define “ultimate parent entity” and “constituent entity”. For Type A groups, the ultimate parent entity is the constituent entity that owns a sufficient interest to require consolidated financial statements and in which no other constituent entity owns an interest of that kind. For Type B groups, the ultimate parent entity is the single entity of the Type B group. “Constituent entity” includes entities of the MNE group (including those without permanent establishments for Type A groups), and for Type B groups it includes the single entity and its permanent establishment(s) for which separate financial statements are prepared.
2. Application and timing (Regulation 3). The CBCR Regulations apply to a Type A group or Type B group for accounting periods beginning on or after 1 January 2017. This is important for practitioners because it establishes the earliest accounting periods to which the filing regime can apply, even though the Regulations themselves were made in February 2018.
3. Core filing obligation: ultimate parent entity resident in Singapore (Regulation 4). Regulation 4 is the heart of the regime. Subject to the special designation mechanism in Regulation 5, where:
- the group is a Type A or Type B MNE group for an accounting period; and
- the group’s ultimate parent entity is resident in Singapore,
the ultimate parent entity must submit a country-by-country report to the Comptroller or an authorised person for that accounting period, covering all constituent entities of the MNE group.
The Regulations also introduce a notice requirement (Regulation 4(1A)–(1D)). The ultimate parent entity must submit a notice in the form and manner determined by the Comptroller, no later than 3 months after the end of the accounting period (or such later time as permitted). This notice requirement applies to CBCR for accounting periods that begin on or after 1 January 2022. The Regulations clarify that the notice requirement does not apply where the Comptroller has given a written notice under Regulation 5(2)(a) that the ultimate parent entity need not submit a CBCR for that accounting period.
Filing deadline. The country-by-country report itself must be submitted no later than 12 months after the end of the accounting period, or such later time as the Comptroller may permit. This longer deadline reflects the operational reality of compiling group-wide information.
Record-keeping. The ultimate parent entity must keep and retain in safe custody all records used to prepare the CBCR for 5 years after the end of the accounting period. This is critical for audit readiness and for responding to information requests.
Offences and linkage to the Income Tax Act. The Regulations expressly link compliance failures to offence provisions in the Income Tax Act. A requirement under Regulation 4(1), (1A) or (2) is treated as a requirement under section 105M(1)(b) of the Act; failure without reasonable excuse can constitute an offence under section 105M(1). A requirement under Regulation 4(3) (record-keeping) is linked to section 105M(1B) of the Act.
4. Special designation: when the ultimate parent entity need not file (Regulation 5). Regulation 5 provides a mechanism to address situations where filing by the ultimate parent entity would disclose information contrary to Singapore’s vital interests. The regulation applies where:
- the particular Type A group is an MNE group for an accounting period; and
- in that accounting period, the Government is the sole shareholder of the ultimate parent entity; and
- the Minister informed the Comptroller that a CBCR by the ultimate parent entity would contain information whose disclosure would be contrary to Singapore’s vital interests.
In such circumstances, the Comptroller may (after taking into account the relevant information) do two things: (a) issue a written notice to the ultimate parent entity that it need not submit the CBCR for that accounting period; and (b) issue written notice to one or more other constituent entities to submit the CBCR in place of the ultimate parent entity.
Practically, this is a “substitution” regime. It preserves the CBCR objective (information is still provided to the tax authority) while managing sensitive information concerns. For counsel, it is important to track whether such a notice has been issued, because it affects both who files and whether the notice requirement under Regulation 4(1A) applies.
How Is This Legislation Structured?
The CBCR Regulations are structured as a short set of operative provisions:
- Regulation 1 sets the citation and commencement date.
- Regulation 2 provides key definitions, including the accounting-standard references (FRS 110 and SFRS(I) 10), the meaning of “ultimate parent entity”, and the thresholds and characteristics for Type A and Type B groups.
- Regulation 3 states the application to accounting periods beginning on or after 1 January 2017.
- Regulation 4 establishes the filing obligation for Singapore-resident ultimate parent entities, including the notice requirement (from accounting periods beginning on or after 1 January 2022), the report deadline, and record-keeping obligations.
- Regulation 5 provides the designation/substitution mechanism where the ultimate parent entity is relieved from filing due to vital interests concerns, and other constituent entities are required to file instead.
Although the extract provided truncates the remainder of Regulation 5, the operative structure is clear: it is a compliance framework that defines scope, assigns responsibility, and provides a limited exemption/designation pathway.
Who Does This Legislation Apply To?
The Regulations apply to Type A and Type B MNE groups meeting the revenue thresholds and structural/residency characteristics described in Regulation 2. The filing obligation in Regulation 4 is triggered when the group’s ultimate parent entity is resident in Singapore.
Accordingly, the primary regulated party is typically the Singapore-resident ultimate parent entity (or, where Regulation 5 applies, one or more designated constituent entities). The Regulations also contemplate interaction with the Comptroller and “authorised persons”, meaning the report may be submitted to the Comptroller directly or through an authorised channel.
Why Is This Legislation Important?
For practitioners, the CBCR Regulations are important because they operationalise Singapore’s participation in international tax transparency initiatives. CBCR is now a standard tool in cross-border tax administration, and compliance failures can lead to criminal or quasi-criminal consequences under the linked Income Tax Act offence provisions.
From a risk-management perspective, the Regulations create clear compliance milestones: a notice within 3 months after the end of the accounting period (for relevant periods), a CBCR submission within 12 months after the end of the accounting period, and a 5-year record retention requirement. These deadlines should be incorporated into corporate tax governance and group reporting calendars.
Finally, the Regulation 5 substitution mechanism is a reminder that CBCR compliance is not purely mechanical. Where sensitive information or vital interests concerns arise, the Comptroller may reassign filing responsibility. Counsel should therefore verify whether any written notices have been issued, because that can change both the identity of the filer and the applicability of the notice requirement.
Related Legislation
- Income Tax Act (Cap. 134) — in particular provisions on international tax compliance agreements and CBCR, including sections 105L, 105I, 105M, and the authorising power in 105P
- Accounting Standards Act 2007 — references to FRS 110 and SFRS(I) 10
- Accounting Standards: FRS 110 (Consolidated Financial Statements) and SFRS(I) 10 (Consolidated Financial Statements)
Source Documents
This article provides an overview of the Income Tax (International Tax Compliance Agreements) (Country-By-Country Reporting) Regulations 2018 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.