PwC's Singapore Budget 2023 proposals

Let change be Singapore’s friend

Singapore’s FY2023 Budget Statement will be announced by Deputy Prime Minister and Minister for Finance, Mr Lawrence Wong on Tuesday, 14 February 2023 in the Parliament.

Businesses and individuals will look with keen interest to the measures introduced in Budget 2023 to help manage challenges posed by global economic slowdown, strong inflationary pressure and geopolitical tensions, as well as the economic cost of climate change. More help extended through fiscal measures would in turn require re-evaluating our overall fiscal position, and how spending can be financed in a sustainable manner.

We provide our proposed measures to the Government - aimed at renewing Singapore’s strength as a global business hub with the capabilities of responding quickly to the rise of the digital and platform economies, changes in international trade and global supply chains, and more aspects to repivot Singapore’s global relevance as well as its competitiveness.

Platforms

As Singapore continues to enhance its competitiveness to attract foreign investments and be the preferred gateway for international companies, it will also need to build on existing frameworks to better support local enterprises in their internationalisation journeys.

Progress

Incentive and grant schemes for multinational enterprises that fall within the Pillar Two regime, can encourage continued investments to support the attraction of talent, expansion of operations and product offerings, digital acceleration and innovation and other research and development activities.

Planet

Accountability and transparency is critical as we move into the implementation phase of sustainability commitments of businesses, institutions and governments globally. Setting up production standards aligned to other transborder requirements will equip local organisations to adopt environmental requirements in their processes promptly, turning potential impacts into opportunities.

Let’s hear from some PwC partners

Strengthening Singapore’s global relevance in sustainability, the digital economy and international trade

"There will never be a perfect time to drive sustainable development. With major milestones congregating around the 2030 timeframe, such as the 2030 Green Plan and achieving the emission target of 60MtCO2e by 2030, Singapore is not far away from its ‘first exam’. Meeting these milestones can help the city state gain momentum and confidence in achieving net zero by 2050. Strong leadership has been demonstrated by many large companies in this respect. In their next bound, it is timely to bring along other stakeholders across the ecosystem such as suppliers, and potentially promising climate solutions. Their success will be Singapore’s success too."

Fang Eu-Lin, Climate Change and Sustainability Leader, PwC Singapore

Renewing Singapore’s strength as an international business hub in the age of global minimum tax

“Multinational enterprises (MNEs), the large corporations, impacted by the new rules, will be listening intently on how the Singapore Government can support them as the cost of doing business will increase when the global minimum tax gets implemented. For such MNEs committed to doing business in Singapore, refundable credits or grants will be welcomed so that they can continue to support Singapore’s economic growth, such as with employment and working with local vendors and suppliers.”

Tan Ching Ne, Corporate Tax Leader, PwC Singapore

Time for Singapore to stand out as a global asset and wealth management centre

“While fund management tax incentives have offered tax certainty on investment returns derived by qualifying funds, we look forward to the Singapore Government to consider giving a further boost to the industry by offering tax concessions on the treatment of carried interest and expanding the designated investments to cover more investment products, such as cryptocurrencies, NFTs and etc, as well as tax deductions for international donations made by many family offices here that have set aside part of their investment returns for philanthropic causes.”

Lennon Lee, Financial Services Tax Leader, PwC Singapore

Contact us

Eu-Lin Fang

Sustainability and Climate Change Practice Leader, Partner, PwC Singapore

+65 9817 8213

Email

Kwek SoCheer

Partner, Digital Solutions, PwC Singapore

+65 9030 4617

Email

Kor Bing Keong

Partner and Goods and Services Tax Leader, PwC Singapore

+65 9112 6982

Email

Tan Ching Ne

Partner and Corporate Tax Leader, PwC Singapore

+65 9622 9826

Email

Frank Debets

Managing Partner, Customs and International Trade at PwC Worldtrade Management Services, PwC Singapore

+65 9750 7745

Email

Suk Peng Ding

Partner, Employment Tax, PwC Singapore

+65 9171 9390

Email

Noel Goh

Workforce Rewards Leader, PwC Singapore

+65 9048 8695

Email

Paul Lau

Partner, Financial Services Tax, PwC Singapore

+65 8869 8718

Email

Lennon Lee

Partner and Financial Services Tax Leader, PwC Singapore

+65 8182 5220

Email

Martijn Schouten

Workforce Transformation Leader, PwC South East Asia Consulting, PwC Singapore

+65 9667 4961

Email

Falgun Thakkar

Partner and Global Structuring Leader, PwC Singapore

+65 9634 7984

Email

Chris Woo

Tax Leader, PwC Singapore

+65 9118 0811

Email

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