Updated on Monday 18th January 2016
Although Singapore has a friendly tax regime for both local and foreign taxpayers, there are moments in which tax litigation situations may arise, on an individual or corporate level. Taxes due are registered at the Inland Revenue Authority of Singapore (IRAS); our lawyers in Singapore can offer you consultancy on your tax litigation situation.
Avoiding tax litigation in Singapore
Before getting involved in a tax litigation procedure in Singapore, taxpayers could apply various methods in order to solve their financial debt owed to the state. International companies with operations in Singapore should try to negotiate with the local tax authorities – in this case IRAS. In such cases, the companies should present a recorded history of the business activities in Singapore. According to the law in Singapore, companies in such situations can require the assistance of the Economic Development Board; our lawyers in Singapore can offer you legal representation in this matter.
International companies should request information from the Comptroller of Income Tax, which should explain the exact procedure on how the Income Tax Act applies to the company and to its profits.
Litigation in Singapore
If the parties can't agree on the taxes a company has to pay, the only possibility to solve the situation is to decide in the court. Tax litigation represents the ultimate option, to which the parties adhere only if they can't settle, as it is time consuming and expensive.
The litigation process can be divided into three main stages:
- interlocutory stage, in which the parties involved prepare the pre-trial proceedings;
- the trial;
- post-trial stage, which may consist of an appeal or law enforcement.
Please note that a person can be sued in Singapore even though he or she isn't a resident of the country; our law firm in Singapore can offer you more details on the stages of a trial and can offer you legal representation.
If you need further information on the tax litigation in Singapore, please contact our law firm, where you can receive relevant details according to your needs.