Business and IPC Partnership Scheme (BIPS)
1. From 1 July 2016, businesses will enjoy a total of 250% tax deduction on wages and related expenses when they send their staff to volunteer and provide services, including secondments, to Institutions of a Public Character (IPCs) under the Business and IPC Partnership Scheme (BIPS), subject to receiving IPCs’ agreements. These services include:
a. Professional services in various areas, such as legal, human resources, and accounting; or
b. General voluntary services for IPCs.
2. The BIPS was announced as a 2.5 year pilot scheme at Budget 2016 (from 1 July 2016 to 31 December 2018). In Budget 2018, it was extended till 31 December 2021, to continue to support employee volunteerism through businesses, and forms part of the Government’s efforts to promote philanthropy and volunteerism.
3. The scheme aims to spur more businesses to provide services to IPCs, as it will defray the cost of doing so. Through volunteering activities or secondments, businesses and IPCs can build enduring and sustained partnerships, benefiting both parties. Staff will also have more opportunities to use their skills to give back to the community. In the long run, the Government hopes to foster a widespread culture of caring in Singapore, where businesses and staff can play a greater role in meeting social needs and building a caring and cohesive society.
4. Attached are the links to the BIPS resources:
a. BIPS Guidelines and Declaration Form Submission for IPCs
b. BIPS Service Giving Declaration Form
c. BIPS FAQs for Businesses
5. MOF/IRAS is currently reviewing the administrative process for BIPS based on the feedback and suggestions received. Details of any change will be announced in the second half of 2018.
6. For further queries, interested IPCs may contact the Charities Hotline at 6337 6597 or email MCCY_Charities@mccy.gov.sg.