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Singapore has been consistently ranked favourably as one of the best places to do business in the world, and this comes as no surprise. In the latest Doing Business Project 2009 undertaken by the World Bank Group, Singapore came out tops in several categories.

The categories that Singapore was ranked first included:

* The ease of doing business

A high ranking on the ease of doing business index means that the regulatory environment is conducive to the operation of a business. Also, the Singapore economy is based on free enterprise, with no restrictions on foreign ownership of business.

* Employing workers

Employing workers measures the flexibility of labour laws among various countries over the world. It examines the difficulty of hiring a new worker, rigidity in terms of working hours and problems faced while dismissing a worker.

* Trading across borders

This ease of trading across borders criteria includes documentation, time and cost to export and import. Singapore is also ranked first for having the most open economy for international trade and investment by the World Economic Forum.

Taxation

Singapore is business friendly and an ideal country for company formation because of the ease with which taxes can be filed and paid, and also its low corporate tax rates relative to many developed economies in the world. From Year of Assessment 2010 onwards, the corporate tax rate of Singapore is to be 17%, just 0.5% higher than that of Hong Kong – Singapore’s closest competitor in the Asia region.

However, the effective tax rate is significantly lower than most of the countries, if not all the countries, in the region. With a further reduction in the 1% from 18% to 17% in corporate tax rate, it will enhance Singapore’s appeal to attract investment dollars.

In addition, the Singapore Government has been actively trying to encourage the growth of a knowledge-based economy and have in place a myriad of tax incentives – thereby lowering the effective tax rates of companies. Some of the tax incentives schemes handed out by the Economic Development Board of Singapore (EDB) include:

* Pioneer Industries

The EDB may grant pioneer incentive to an approved industry which is not being carried on in Singapore on a scale adequate to the economic needs of Singapore, and for which there are favourable prospects for development. The tax relief period of a pioneer enterprise shall commence on its production day and shall continue for such period, not exceeding 15 years.

* Pioneer Service Companies

Similar to the Pioneer Industries scheme, it is granted to services which fall under the list of ‘qualifying activities’. These include any engineering or technical services such as laboratory, consultancy and research and development activities, computer-based information and other computer related services, the development or production of any industrial design and such other services or activities as may be prescribed.

* Development & Expansion Incentive

A tax relief period of up to 10 years as the Minister may determine not exceeding 5 years for each period may be granted upon approval to the manufacturing or increased manufacturing of any product from any industry that would be of economic benefit to Singapore.

* Enhanced Tax Deduction for Research & Development (R&D) expenses

Where a taxpayer directly carries out qualifying R&D activities in Singapore, he can claim a further deduction of 50% of the amount of qualifying R&D expenses incurred. This is in addition to the 100% deduction he can claim for such expenditure.

Treaties and Agreements

Currently, Singapore has signed 18 free trade agreements (FTAs) with many of the world leading economies including the United States of America, Japan, Korea, and China. There are also 5 on-going FTA negotiations, with countries like India and Mexico. In the words of International Enterprise (IE) Singapore, these FTAs act as “superhighways that connect Singapore to major economies and new markets”. The FTAs have lowered the cost of doing business by reducing or eliminating tariffs, easing investment rules, and enhancing intellectual property regulations.

On the tax front, Singapore has also concluded many Double Taxation Agreements (DTAs) with other jurisdictions. This provides certainty to businesses regarding when and how tax is to be imposed, thereby reducing compliance costs. DTAs also allow companies to claim for relief of taxes paid overseas. To date, Singapore has signed and ratified comprehensive DTAs with 60 countries, 7 limited treaties and 4 more which are signed but not ratified.

In essence, with efficient planning and structuring, Singapore is a great jurisdiction for company incorporation, as it results in a higher net profit after tax. The efficient economy, good infrastructure, skilled workforce and sound economic policies in place has certainly boosted Singapore’s reputation an ideal jurisdiction to do business in.

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10 ways to become financially fit in 2010

Breathe a sigh of relief. The financial rocky road of 2009 is over. USE, don’t lose, those new gift cards. Most gift cards cannot have expiration dates or fees, unless clearly stated on the card itself.

Death and Taxes – TaxSlayer.com

Question: What is the Point of a Tax-Deductible Donation?

Yes it will reduce your taxes by a little, but not nearly by how much you had to donate, am i right?
Say my income was 20,000, i donated 2,000, and if the rate was 25% my taxes, which normally would be 5,000, would become 4500. I have paid 2,000 to get 500 off. Why do people do tax deductible things?

Answer: Basically just to save money and give something to a charity.

Items on Amazon Right Now for Tax Deductible Things:

Shreveport Woman Opens Unique Gift

Many of you are beginning to tear down your decorations and clean up from Christmas.

Wild Things Sanctuary 2008

In today’s uncertain times, retirement planning firm, retirement financial advice and investment management advisors are the buzzwords and the needs of the hour.

When one is young, one never thinks about retirement planning. But the sooner one starts planning for retirement, the better. It is not even bad, even if one starts late in life. The savings for retirement should be on top of the list. They carry tax benefits as well.

Planning for retirement is also necessary as it allows one to do those things which we had to let go off, while working. It may include traveling, studying, spending time with family, starting a new business or just enjoying a retired life. Retirement income comes from social security, pensions, personal savings and investments. So, careful planning is needed and inflation has to be taken into account as well.

Susan Strasbaugh and Richard Strasbaugh have been in the business of retirement financial advice and financial investment advice Colorado Springs for fourteen years. They have been investment management advisors for the individuals and small businesses of Colorado Springs. They have been running a financial planning firm-Strasbaugh Financial Advisory, Inc. and helping the citizens of Colorado Springs. Susan is a certified financial planner.

They have a six step process to help to prepare a personalized plan suited to the needs of the individual or business. The process includes:

1. The Strasbaugh Financial Assessment: In this, they have a series of meetings with the client which takes care of the most urgent needs.

2. The Net worth Snapshot: In this, they analyze the current net worth of the client including the assets and liabilities. This step also includes setting and signing of new investment accounts.

3. The Cash Flow Maximize: This step involves reviewing the current income and expenses and developing a long term financial plan including tax saving schemes

4. The Ideal Future Game plan: This identifies the short term and long term goals and the money needed for retirement and prepares a plan based on that.

5. The Protection Planning Profile: This step reviews the existing insurance policies and recommends new ones if something is lacking so that all unforeseen risks are covered and planned for.

6. The Investment Solution: This step reviews the current investments and recommends new ones if there is some shortfall in the financial targets.

They also provide a mid-year and a yearly report to their clients based on their reviews. This financial planning firm of Colorado Springs makes sure that the customer needs are met and their future is secured.

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IRS finds preparer mistakes common

Most of us don’t do our own tax returns.My husband did ours for years. He finally surrendered

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