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With this minimum tax of 15%, the race to the bottom has to be addressed. We invite all professionals to join the conversation, discuss what Singapore has to do and how we can benefit from this.

• With more tax revenue collected, it provides more political and social support of the most Asian economy. With the stable growth of Asian countries, it will provide the right kind of foreign investment in Asian using Singapore as regional hub.
• It enables Singapore to shed away the “Tax Haven” image, instead it will reinforce Singapore's advantage as a "low tax and high quality of life" destination, which is important in attracting highly qualified foreign investments rather than tax avoidance type of investments without actual tax substance where it provides meaningful employment and skill transfer (such as research and development).

IRAS can take this opportunity to amend the start up tax incentive by

• Identification the type of newly incorporated company if it is the subsidiary of an MNC or an investment holding company with passive income. It does not qualify for this newly company incentive
• Newly set up Singapore companies with subsidiary of any Asian countries will be entitle to this start up tax incentive hence encouraging investment not only in Singapore but regionally which in turn will benefit Singapore economy

IRAS cannot provide lower tax rate, but it could provide more rebate or deductibles if the company can justify the local minimum spending of $X amount on:

• Overall staffs spending where physical working location is in Singapore and not offshore.
• On training & R&D where it improves the staffs’ working knowledge
• Spending on business development or having a subsidiary in Asian countries

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