Extension of Productivity and Innovation Credit (PIC) Scheme
For enhanced tax deductions, the expenditure cap of $400,000 per qualifying activity per YA can be combined across YA 2016 to YA 2018 (i.e. $1.2 million per qualifying activity).
For PIC cash payout, the expenditure cap of $100,000 per YA for all six qualifying activities cannot be combined across the three YAs, as is the case currently.
Under the PIC+ scheme, the expenditure cap for qualifying SMEs will be increased from $400,000 to $600,000 per qualifying activity per YA. This means that these SMEs that invest beyond the current combined expenditure cap of $1.2 million for each qualifying activity can claim 400% enhanced tax deduction on an additional $200,000 of qualifying expenditure.
PIC+ will take effect for expenditure incurred in YA 2015 to YA2018. The combined expenditure cap will be up to $1.4 million for YA 2015, and up to $1.8 million for YA 2016 to YA 2018.
The expenditure cap for PIC cash payout will remain at $100,000 of qualifying expenditure per YA.
IRAS will release further details by end Mar 2014.
Refining the three-local-employees condition for PIC cash payout
Streamlining Stamp Duty Rates for Share Transfers and Mortgages
Transfer of stock or shares - 0.2% of the purchase price or market value of the stock or shares transferred, whichever is higher
Mortgage instruments - 0.2% or 0.4% of the relevant amount (depending on the type of mortgage instrument) subject to maximum duty of $500