Singapore losing ground to Hong Kong in cutthroat tax competitiveness race

Tax treaties here need a quick upgrade.

Hong Kong is rapidly catching up with Singapore’s comprehensive tax treaty network, which could threaten the republic’s international competitiveness.

According to EY, Singapore’s network of over 70 tax treaties in force has played a key role in attracting multinational companies to establish their headquarters in the country.

However, regional rival Hong Kong is fast closing the gap, having negotiated tax treaties with more than 30 countries over the past decade.

In its 2015 Budget wishlist, EY stated that many of Hong Kong’s tax treaties provide favourable reduced treaty rates and capital gains tax exemption while some of Singapore’s tax treaties which were secured some years ago need to be updated to ensure the treaty benefits remain attractive and relevant in current economic times.

“Singapore needs to refresh its tax treaties by renegotiating the benefits of existing treaties. Otherwise, it risks losing its edge as a hub for headquarters to Hong Kong. The US and Latin American countries are key markets missing from Singapore’s tax treaty network. Singapore businesses that seek to expand to the US would benefit from a tax treaty with negotiated lower withholding tax for royalties, dividends and interest, as well as access to Mutual Agreement Procedures,” said Chung-Sim Siew Moon, Head of Tax Services, Ernst & Young Solutions LLP

If you've been wondering whether SBR could work for your company — yes, probably.

A lot of the companies we partner with started as readers. They'd been following our coverage for a while, saw their own customers and competitors in it, and eventually asked the obvious question: could we do something with you? The answer is usually yes. The shape of it depends on what you're trying to do.

The options are broader than most people assume — thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. Some partners use one channel; most use a mix. We figure out the right combination by starting with your brief, not with our rate card.

So if the question has been on your mind, here's the easy way to ask it.

We'll tell you honestly whether we can help, and how. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia