On Deepavali Day, I received a very pleasant surprise.
I just read that Cloud Computing Costs are not only tax-deductible (which we know) as business expenses, they now qualify for additional deduction under Productivity & Innovation Credit.
An example cited in ST’s news article – “word processing that exist online rather than on individual computers”. A $100 expense would qualify for up to $400 deduction against your income (subject to meeting other terms and conditions.)
Important terms and conditions to note before we jump for joy are:-
1. spent on qualifying expenditure and are entitled to PIC during the time period concerned
2. active business operations in Singapore
3. at least 3 local employees at the VERY last month of the qualifying time period
(Who are the 3 employees? INCLUDING Singaporeans & PRs but EXCLUDING sole proprietors, partners under contract for service and shareholders who are directors of company)