On September 21, 2012, Singapore and the Isle of Man signed a double taxation agreement which also incorporates the internationally-agreed standard for the exchange of information for tax purposes. The signing ceremony took place at the Singapore High Commission in London, between the Isle of Man’s Treasury Minister, and the High Commissioner of Singapore.
The DTA sets out the allocation of taxing rights between the two jurisdictions with regard to business income, and shipping and air transport, as well as the tax relief on different types of passive income. For example, the withholding tax on interest and royalties is to be capped at 12% and 8%, respectively.
The agreement will enter into force after its ratification by both countries.
