{"id":884,"date":"2023-06-01T09:06:22","date_gmt":"2023-06-01T09:06:22","guid":{"rendered":"https:\/\/opencompanysingapore.com\/singapore-canada-double-tax-treaty\/"},"modified":"2023-07-13T08:05:16","modified_gmt":"2023-07-13T08:05:16","slug":"singapore-canada-double-tax-treaty","status":"publish","type":"post","link":"https:\/\/opencompanysingapore.com\/singapore-canada-double-tax-treaty\/","title":{"rendered":"Singapore-Canada Double Tax Treaty"},"content":{"rendered":"\n<p><strong>Singapore<\/strong>&nbsp;signed its first&nbsp;<strong>double tax agreement with Canada<\/strong>&nbsp;in 1976. In order to increase economic cooperation and provide for new advantageous tax conditions to Canadian and&nbsp;<strong><a href=\"https:\/\/www.opencompanysingapore.com\/company-registration-in-singapore\" target=\"_blank\" rel=\"noreferrer noopener\">Singapore companies<\/a><\/strong>, the two states amended their convention in 2011 and enforced in 2012. The following taxes are covered by the&nbsp;<strong>Singapore-Canada double taxation treaty<\/strong>:<\/p>\n\n\n\n<ul>\n<li>&#8211;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the income tax in Singapore;<\/li>\n\n\n\n<li>&#8211;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; the income tax in Canada.<\/li>\n<\/ul>\n\n\n\n<p>The agreement clarifies that the income tax is made up of several elements in the case of both contracting states. Our&nbsp;<strong><a href=\"https:\/\/www.opencompanysingapore.com\/about-us\" target=\"_blank\" rel=\"noreferrer noopener\">local agents<\/a>&nbsp;<\/strong>who can assist you&nbsp;<strong>open a company in Singapore<\/strong>&nbsp;can provide you with more information about the elements of income comprised in the&nbsp;<strong>double tax agreement with Canada<\/strong>.<\/p>\n\n\n\n<p>We are also at the service of those interested in&nbsp;<a href=\"https:\/opencompanysingapore.com.com\/establish-a-subsidiary-in-singapore\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>setting up a subsidiary in Singapore<\/strong><\/a>&nbsp;or<strong>&nbsp;setting up new companies<\/strong>&nbsp;in this city state.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #002e5b;color:#002e5b\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #002e5b;color:#002e5b\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/opencompanysingapore.com\/singapore-canada-double-tax-treaty\/#tax-rates-under-the-singapore-canada-double-taxation-treaty\" title=\"Tax rates under the Singapore-Canada double taxation treaty\">Tax rates under the Singapore-Canada double taxation treaty<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/opencompanysingapore.com\/singapore-canada-double-tax-treaty\/#taxation-under-the-singapore-canada-double-taxation-agreement\" title=\"Taxation under the Singapore-Canada double taxation agreement\">Taxation under the Singapore-Canada double taxation agreement<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"tax-rates-under-the-singapore-canada-double-taxation-treaty\"><\/span><strong>Tax rates under the Singapore-Canada double taxation treaty<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>As all other&nbsp;<strong><a href=\"https:\/\/www.opencompanysingapore.com\/double-tax-treaties-in-singapore\" target=\"_blank\" rel=\"noreferrer noopener\">Singapore double taxation agreements<\/a><\/strong>, the one with&nbsp;<strong>Canada<\/strong>&nbsp;provides for a series of facilities resulting in tax reductions or exemptions for certain incomes. The&nbsp;<strong>Singapore-Canada double taxation convention<\/strong>&nbsp;provides for the following rates:<\/p>\n\n\n\n<ul>\n<li>&#8211;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; a 15% tax rate on dividend payments, if the recipient owns shares in the company paying the dividends;<\/li>\n\n\n\n<li>&#8211;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; a 15% tax rate on interest payments, if the interest is taxed in the other country.<\/li>\n\n\n\n<li>&#8211;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; a 15% tax rate on royalties payments, if the royalties are taxed in the other country.<\/li>\n<\/ul>\n\n\n\n<p>In order to&nbsp;<strong>avoid double taxation<\/strong>, both&nbsp;<strong>Canada and Singapore<\/strong>&nbsp;will grant an allowance against the tax paid in the other contracting state. Our company formation consultants can help Canadian investors take advantage of the provisions of this double tax treaty and can also help them&nbsp;<a href=\"https:\/\/www.opencompanysingapore.com\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>open a company in Singapore<\/strong><\/a>.<\/p>\n\n\n\n<p>The&nbsp;<strong>subsidiary in Singapore<\/strong>&nbsp;does not enter the provisions of the double tax treaty with Canada as it is seen as a local business. Clients interested in&nbsp;<a href=\"https:\/\/www.opencompanysingapore.com\/\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>setting up a company in Singapore<\/strong><\/a>&nbsp;in order to extend their businesses through subsidiaries, can receive help from our team of company formation agents.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"taxation-under-the-singapore-canada-double-taxation-agreement\"><\/span><strong>Taxation under the Singapore-Canada double taxation agreement<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The&nbsp;<strong>double tax convention between Singapore and Canada<\/strong>&nbsp;covers both individual and companies residing in one of the contracting states. The agreement also stipulates that any tax falling under its incidence may be levied in one of the two states. Exceptions from this rule apply in the taxation of income derived from the alienation of real estate will be taxed in the country where the property is situated in and in the case of&nbsp;<strong><a href=\"https:\/\/www.opencompanysingapore.com\/taxation-of-individuals-in-singapore\" target=\"_blank\" rel=\"noreferrer noopener\">employment income<\/a><\/strong>&nbsp;which will be taxed in the country where the services are rendered. However, a Canadian or Singapore tax resident will be taxed in the other country if they have lived there for at least 183 days in a calendar year.<\/p>\n\n\n\n<p>For complete information about&nbsp;<strong>taxation<\/strong>&nbsp;under the&nbsp;<strong>agreement with Canada<\/strong>, do not hesitate to&nbsp;<strong><a href=\"https:\/\/www.opencompanysingapore.com\/contact\" target=\"_blank\" rel=\"noreferrer noopener\">contact our Singapore company formation consultants.<\/a>&nbsp;<\/strong>If you need&nbsp;<a href=\"https:\/\/canadacompanyformation.com\/open-a-company-in-canada-as-a-nonresident\/\">business consulting services in Canada<\/a>, we can put you in touch with our local partners who can help you open a company.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Singapore&nbsp;signed its first&nbsp;double tax agreement with Canada&nbsp;in 1976. In order to increase economic cooperation and provide for new advantageous tax conditions to Canadian and&nbsp;Singapore companies, the two states amended their convention in 2011 and enforced in 2012. The following taxes are covered by the&nbsp;Singapore-Canada double taxation treaty: The agreement clarifies that the income tax is [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":520,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[9,37,594,8,593,595],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Singapore Canada Double Tax Treaty<\/title>\n<meta name=\"description\" content=\"Our Singapore company formation consultants can provide you with detailed information about the Singapore-Canada double taxation agreement.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/opencompanysingapore.com\/singapore-canada-double-tax-treaty\/\" \/>\n<meta property=\"og:locale\" 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