Deposits are not business income or deductions
The scheme applies a ten-cent deposit to regulated plastic and metal beverage containers of 150 millilitres to three litres. Deposits collected or redeemed are not taxable business income, and deposits paid are not deductible business expenses. They do not form part of the beverage price. Where recognised in profit and loss, the page generally allows no tax adjustment to ease compliance because deposits are expected to be recovered over time.
Exceptions, fees and grants
An adjustment is required where a waived deposit is associated with non-deductible expenditure, such as donations-in-kind: add back the deposit expense recognised in profit and loss. Revenue expenses such as producer fees follow ordinary deduction principles. The source lists the Producer Transition Grant of up to S$2,500 and one-time RRFS support of S$500 per food shop as taxable revenue grants. Keep normal five-year records and use the separate GST page for GST treatment.
Official source
A concise, independent Apex Gateway guide based on the official English source, not a reproduction of the complete document. Consult the original for full conditions, exceptions and subsequent updates.
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