| 1 |
Repayment
of input tax by the customer (debtor)
who has claimed the input tax but fails
to pay the supplier the consideration
by a certain date |
The
customer (debtor) will be required to
adjust and repay his input tax for the
amount that he already claimed, if he
fails to pay the supplier the full consideration,
or any part thereof, 12 months from
the date of supply or due date of payment,
whichever is the later.
The amendment facilitates compliance
for the customer (debtor) to determine
when to adjust and repay his input tax,
regardless of whether the supplier has
claimed bad debt relief. This is on
the basis that the customer knows best
whether payment is made towards his
debt. It also eases compliance for the
supplier as he need not inform his customer
(debtor) of the bad debt relief. |
Section
19
[Clause
2]
|
Clause 2 deletes subsection (12) of
section 19 and substitutes new subsections
(12) and (12A). The new subsections
require a taxable person who:
- has failed to pay his supplier
the consideration or any part thereof
for the supply of goods or services
made by his supplier to him; and
- has credited the input tax relating
to the consideration or the part
thereof against his output tax,
to account and repay to IRAS, in certain
circumstances, an amount equal to such
input tax. |
| 2 |
Zero-rating
of maintenance, repair and broking services
of ships and aircraft |
Since
maintenance, repair and broking services
which are directly related to ships
or aircraft are effectively internationally
bound, it is not necessary to restrict
zero-rating of such services only where
they are provided to the owner, operator
or agent. The GST Act will be amended
to remove this requirement.
However, management services, in relation
to any ship or aircraft, must still
be provided to the owner, operator or
agent of the ship or aircraft before
such services can be zero-rated. |
Section
21(3)
Clause
3
|
Clause
3 amends section 21(3). The clause deletes
and substitutes paragraph (p) to enable
the Minister to prescribe the types
of services comprising the repair, maintenance,
broking or management of any ship or
aircraft which are to be treated as
international services for purposes
of the Act. |
| 3 |
Zero-rating
of electronic services pertaining to
trade declarations for import and export
of goods |
A
new paragraph is added under 21(3) so
that zero-rating is extended to electronic
services for trade declarations for
the import and export of goods via land,
in addition to via air and sea. |
Section
21(3)
Clause
3
|
Clause
3 also introduces a new paragraph (t)
which enables the Minister to prescribe
the types of services in connection
with the provision of an electronic
system relating to the import of goods
into or the export of goods out of Singapore
which are to be treated as international
services for the purposes of the Act. |
| 4 |
Compulsory
electronic filing of returns |
The
GST Act will be amended to prescribe
electronic filing as the only mode of
filing, from a date to be announced
by the Minister through gazette notification.
|
Section
41(4)
Clause
4
|
Clause 4 deletes paragraph (b) of section
41(4) and substitutes new paragraphs
(b), (ba) and (bb). The new paragraphs
re-enact the existing paragraph (b),
with the new paragraph (ba) clarifying
that regulations may be made —
- to require the compulsory making
and submission of returns through
the electronic service provided
by the Comptroller of Goods and
Services Tax under section 42; and
- to provide for any procedure
for the making and submission of
returns through such electronic
service.
|
