MAS announces new screening report requirement for tax incentive applications for fund vehicles managed by family offices

27 September 2024

On 5 August 2024, the Monetary Authority of Singapore (“MAS”) announced that from 1 October 2024 onwards, all new tax incentive applications for fund vehicles managed by family offices pursuant to the schemes under sections 13O and 13U of the Income Tax Act 1947 (“ITA”) must be accompanied by a screening report issued by a screening service provider prescribed by MAS. 

In general, the screening process is expected to take about two weeks to complete. 

The new screening report requirement is in addition to the existing criteria that fund vehicles managed by family offices must meet to be approved for the schemes under sections 13O and 13U of the ITA, including those relating to assets under management, investment professionals, spending, capital deployment, and private bank accounts. 

Background 

The tax incentive schemes for funds under sections 13O and 13U of the ITA provide tax exemptions to fund vehicles managed by Singapore-based fund managers, provided the schemes’ conditions are fulfilled. The schemes aim to create a conducive operating environment for Singapore-based fund managers. 

Reference materials 

The announcement is available on the MAS website www.mas.gov.sg.