R&D expenditure incurred in relation to such projects will be extended for five years till 31 March 2020. Extend and refine Section 19B To build Singapore as an IP hub, the WDA granted on Section 19B Writing-Down Allowance (“WDA”) expenditure incurred on the acquisition of IPRs will for Intellectual Property Rights extended for five years till YA 2020. The accelerated [Clause 32] (“IPRs”) WDA for Media, Digital and Entertainment (“MDE”) companies will be extended for three years till YA 2018. To provide clarity on the types of items that would not qualify for WDA under the categories of and “copyright” secret or information that has commercial value”, a “trade negative list will be legislated to expressly exclude the following two categories of information: (i) customer information, and (ii) information relating to work processes. This is in line with the policy intent of the scheme, which is to encourage the economic exploitation of confidential information that is of the same class or nature as trade secrets and the other forms of IPR expressly listed in the definition. Extend and enhance the Land To continue encouraging businesses to optimise land use, Section 18C Intensification Allowance (“LIA”) the LIA scheme will be extended for another five years to scheme 30 June 2020. In addition, the following changes have [Clause 29] been introduced with effect from 22 February 2014: Extension of the LIA scheme to qualifying building or structure on airport land and port land;
R&D expenditure incurred in relation to such projects will be extended for five years till 31 March 2020. Extend and refine Section 19B Writing-Down Allowance (“WDA”) for Intellectual Property Rights (“IPRs”) To build Singapore as an IP hub, the WDA granted on expenditure incurred on the acquisition of IPRs will extended for five years till YA 2020. The accelerated WDA for Media, Digital and Entertainment (“MDE”) companies will be extended for three years till YA 2018. To provide clarity on the types of items that would not qualify for WDA under the categories of “copyright” and “trade secret or information that has commercial value”, a negative list will be legislated to expressly exclude the following two categories of information: (i) customer information, and (ii) information relating to work processes. This is in line with the policy intent of the scheme, which is to encourage the economic exploitation of confidential information that is of the same class or nature as trade secrets and the other forms of IPR expressly listed in the definition. Section 19B [Clause 32] Extend and enhance the Land Intensification Allowance (“LIA”) scheme To continue encouraging businesses to optimise land use, the LIA scheme will be extended for another five years to 30 June 2020. In addition, the following changes have been introduced with effect from 22 February 2014: Extension of the LIA scheme to qualifying building or structure on airport land and port land; Section 18C [Clause 29]
2014_ITA_BudgetChanges.docx