IRAS, MAS revise tax treatment of insurance reserves

Previously, reserves were non-deductible as estimates of contingent liabilities.

The Inland Revenue Authority of Singapore (IRAS) has updated the guidelines for the tax deductibility of general insurers' reserves against incurred but not reported (IBNR) claims.

Previously, these reserves were not deductible as they were seen as estimates of contingent liabilities.

However, after representations from the Monetary Authority of Singapore (MAS) and international rulings, IRAS now allows these provisions if they are backed by reliable statistical methods, such as the loss triangulation method.

Further alternative methods have been provided for insurers unable to collate historical data.

These guidelines aim to promote sound insurance practices whilst ensuring tax compliance.

Follow the link s for more news on

insurance

Monetary Authority of Singapore

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. 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