During the last few years, Singapore has signed or amended its double tax treaty list in order to enhance trade and economic relations with other countries and to increase the number of potential foreign investors. Switzerland is one of the European countries Singapore has good economic ties with. The first double tax agreement between Singapore and Switzerland dates back in 1975. The convention was last amended in 2011 and enforced in 2013 by both contracting states.
The new Singapore-Switzerland double taxation treaty covers the following taxes:
The convention also applies to similar taxes collected in the contracting parties.
In order to provide advantageous tax conditions to foreign investors setting up companies in Singapore or Switzerland, and to those already operating in one of the two states, the elimination of double taxation will occur through tax credits or exemptions in Singapore, and tax deductions, exemptions or other reliefs depending on the nature of the income in Switzerland.
Special provisions apply in the case of permanent establishments, such as subsidiaries or branch offices registered by Singapore and Swiss companies in the other country. Our Singapore company formation agents can provide you with information about the avoidance of double taxation under the treaty with Switzerland.
Certain incomes, such as dividend, interest and royalties payments benefit from reduced rates under the Singapore-Switzerland double taxation convention. These rates apply as it follows:
For complete information about the double tax treaty with Switzerland, please contact our company registration consultants in Singapore.