As the economic crisis has evolved due to the COVID-19 pandemic, the Singaporean Government has announced several budgetary stimulus and relief measures to address the ongoing challenges of businesses and residents.
Singapore recently announced their 4th round of stimulus, which amounts to approximately S$33 billion. The latest funding will extend the Jobs Support Scheme through August and expand eligibility, extend commercial rent exemptions by two months, and leverage S$285 million in credit for the startup community, among other initiatives.
The most previous support package, known as the Solidarity Budget, provided a number of new provisions, along with enhanced support mechanisms introduced in earlier stimulus measures.
The following are a number of the key schemes currently active from the Singaporean Government:
– Jobs Support Scheme: Wage subsidy of 75% of gross monthly wages for the first S$4,600 of wages paid in April 2020 for all local employees. The original package only allowed 25%, unless the employee was in the aviation, tourism, or food service sectors. Initial payments will be sent out in April 2020, instead of original plan of May 2020.
– Foreign Worker Levy Waiver: Waiver of monthly foreign work levy due in April 2020
– Wage Credit Scheme: Expanded support mechanism to co-fund salary increases of Singaporean employees of up to 20%
– Property Tax Exemptions: Qualifying commercial properties will owe no property taxes in 2020, while industrial and office properties will receive a 30% rebate
– Enterprise Development Grants: Expanded program to support up to 90% for businesses through 2020
– Loan Financing: Temporary Bridging Loan Programme to provide financing of up to S$5 million and now available to all sectors
– Corporate Tax Rebate: 25% Corporate Income Tax Rebate for the year 2020, up to $15,000 per company
For additional information on the economic response packages from the Singaporean Government, visit their official Budget 2020 website.