On February 11, 2016 the Inland Revenue Authority of Singapore (IRAS) published its e-Tax Guide – GST Guide for the Marine Industry. In relation thereto on the same date IRAS also published its e-Tax Guide – GST: Approved Marine Customer Scheme (AMCS).
IRAS e-Tax Guide – GST Guide for the Marine Industry
According to the e-Tax Guide the aim of the guide is to explain the GST treatment for ships and certain ship and marine-related supplies.
In paragraph 2 “At a glance” the following is stated: “The GST treatment for ships and ship-related services recognizes the international character of the marine industry. Consequently, the sale or lease of goods and certain services supplied to ships can be zero-rated if they fulfil certain conditions.”
The e-Tax Guide discusses a.o. the following subjects:
· Meaning of ‘ship’
o Recreation and pleasure ships: Meaning of ‘wholly for international travel’
o Identifying ships that are ‘wholly for international travel’
· Zero-rating the sale or letting on hire of goods for use on a ship under sections 21(6A) and (6B) of the GST Act
o Meaning of ‘goods which are for use or installation on the ship’
o Specific scenarios qualifying for zero-rating relief
o Exception to this relief
o 60-day Rule
· Supplies of stores, bunker fuel and merchandise for sale by retail to persons carried on ships which fall outside the definition of ‘ship’ in paragraph 3
· Zero-rating of international services to ship
· Zero-rating repair and maintenance services performed for ship and ship parts or components
o Ancillary expenses on-charged (ancillary supplies) in the course of providing repair and maintenance services
· Benefits under the Approved Marine Customer Scheme (AMCS)
Click here to be forwarded to IRAS e-Tax Guide – GST Guide for the Marine Industry as available on the website of IRAS, which will open in a new window.
IRAS e-Tax Guide – GST: Approved Marine Customer Scheme (AMCS)
According to the e-Tax Guide the aim of the guide is to explain the mechanism and qualifying criteria for the Approved Marine Customer Scheme (AMCS).
The Guide states that one should read the guide if one is a GST-registered business who would like to apply for the scheme or a supplier to an approved business under the scheme.
In paragraph 2 “At a glance” the following is stated: “To ease compliance for businesses procuring goods for use or installation on internationally bound commercial ships, the Approved Marine Customer Scheme (AMCS), was introduced. Under the scheme, approved businesses (henceforth referred to as ‘Approved Marine Customers’ or AMCs) in the shipping and marine industries are eligible to purchase or rent such goods at zero-percent GST. The documentary requirements imposed on suppliers making these zerorated supplies to the AMC are simplified such that the supplier does not need to maintain all the documentary evidence spelt out in the eTax Guide “GST Guide for the Marine Industry”."
The e-Tax Guide discusses a.o. the following subjects:
· Benefits of the AMCS
· Conditions of Eligibility for AMCS
· Conditions of Approval
· Requirements under the AMCS
· Application Procedures
· Validity Period of AMCS Status
· Implications of Cessation from AMCS
· De-registration Implications for AMCS Business
· Consequences of non-compliance with AMCS
Click here to be forwarded to IRAS e-Tax Guide – GST: Approved Marine Customer Scheme (AMCS) as available on the website of IRAS, which will open in a new window.
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