Company: EGG
Filing Date: 2025-04-16
Form Type: F-1/A
Source: 0001641172-25-004947
Chunk: 158

Company: ENIGMATIG LTD
Filing Date: 2025-04-16
Form: F-1/A
Chunk 158
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 income tax rate. It has been announced in the 2018 Budget that with effect from Year of Assessment 2020, the tax exemption scheme for new start-up companies will be limited to the first SGD200,000 (instead of SGD300,000) of the company’s normal chargeable income. The tax exemption on the first SGD100,000 will also be reduced from 100.0% to 75.0%.

It was announced
in the 2024 Budget that a Corporate Income Tax Rebate of 50.0% of the corporate income tax payable would be granted to all taxpaying
companies for the Year of Assessment 2024, and companies that employed at least one local employee and made Central Provident Fund contributions
in 2023, would receive SGD2,000. A company may receive up to SGD40,000 of benefits under such 2024 Budget initiatives.

It was further
announced in the 2025 Budget that a Corporate Income Tax Rebate of 50.0% of the corporate income tax payable would be granted to all
taxpaying companies for the Year of Assessment 2025, and companies that employed at least one local employee and made Central Provident
Fund contributions in 2024, would receive SGD2,000. A company may receive up to SGD40,000 of benefits under such 2025 Budget initiatives.

Dividend distributions

Singapore does not impose income tax on dividends paid by a Singapore resident company to resident or non-resident shareholders. Currently, Singapore has adopted the “One-Tier” Corporate Tax System. Under this one-tier system, the tax paid by a Singapore resident company is the final tax and the after-tax profits of such company can be distributed to the shareholders as dividends which are tax exempt in the hands of the shareholder, regardless of the tax residence status or the legal form of the shareholder.

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Capital gains tax

Under current Singapore tax law, there is no general tax on capital gains. However, save as described below, there are no specific legislation or regulations which deal with the characterization of whether a gain is income or capital in nature. If the gains from the disposal of Class A ordinary shares are construed to be of an income nature (which could be the case if, for instance, the gains arise from activities which IRAS regards as carrying on a trade or business in Singapore), the disposal profits would be taxable as income. As the precise status of each prospective investor will vary from one another, each prospective investor should