Activities, years and conversion cap
The 25 July 2024 guide describes Budget 2023 EIS for YA 2024–2028. Up to $100,000 total qualifying enhanced-deduction/allowance spending across five activities per YA converts at 20%, capped at $20,000 cash. Activities are Singapore qualifying R&D, acquisition/licensing of IP rights, IP registration, employee training and innovation projects with polytechnics, ITE or other qualified partners. The cap aggregates activities rather than providing $20,000 for each one.
Eligible businesses and three conditions
Sole proprietorships, partnerships, companies including registered business trusts, registered foreign branches and subsidiaries may apply. They must operate actively in Singapore, incur qualifying spending in the relevant basis period and meet the three full-time local employee condition for at least six months in that period. Sole proprietors are owners, not employees, for the training note. The sheet does not define every activity’s qualifying cost.
File return first and meet the window
Apply for EIS Cash Payout through the IRAS service after the income-tax return, once per business per YA, before the relevant filing due date. The table lists partnerships 1 February–18 April, sole proprietors 1 March–18 April, and companies from official corporate-return service opening to 30 November. Both sequencing and deadline apply; return filing is not itself the cash-payout application.
Records, no double claim and recovery
Keep invoices, instalment agreements and all related documents seven years and supply them on request; approval does not prevent later audit. Enhanced deductions/allowances cannot also be claimed for the same converted expenditure. Material falsehood or omissions may offend section 37S. IRAS can recover incorrect payouts and penalties may apply if the business fails to notify it promptly of an erroneous claim.
Official source
This article independently explains the substantive contents of the official PDF, including the relevant conditions, procedures and annexes. The linked document remains the authoritative source for its original wording, and later changes should be checked separately.
Read the official PDF ↗