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Commencement Of Application Period For SME Rebate Scheme

29 Jun 2007

1. From 01 July 2007 - 31 July 2008, Small and Medium Enterprises (SMEs) that meet the eligibility criteria of the SME Rebate Scheme can apply for the rebates online at http://www.smerebate.gov.sg.

2. The SME Rebate Scheme was announced by the Government in Budget 2007 as a 2-year assistance scheme to help locally registered SMEs cope with the increase in employer CPF contribution rate of 1.5% that will take effect from 01 July 2007.

3. The rebates will be granted to locally-registered businesses that have:

  • Fixed Asset Investment (FAI) of less than S$15 million, and
  • Not more than 200 employees (for non-manufacturing firms)

4. Each eligible firm will receive rebates pegged to the total employer and employee CPF contributions paid by the firm over 2 years (01 July 2007 - 30 June 2009).

1st Year (01 July 2007 - 30 June 2008)

Total CPF paid in 1st Year

Quantum of rebate

First $40,000

2% of CPF paid (up to the maximum of $800)

Next $40,000

1% of CPF paid (up to the maximum of $400)


2nd Year (01 July 2008 - 30 June 2009)

Total CPF paid in 2nd Year

Quantum of rebate

First $40,000

1% of CPF paid (up to the maximum of $400)

Next $40,000

0.5% of CPF paid (up to the maximum of $200)


5. Details on the scheme are available on the SME Rebate Scheme Website at http://www.smerebate.gov.sg. For further enquiries, please email smerebate@cpf.sg

MINISTRY OF FINANCE