Separate the product from arranging it
International passenger transport can be zero-rated; accommodation supplied as principal follows the property location, with overseas accommodation outside scope. Outbound package tours and inbound tours have different treatment, and regional tours require allocating Singapore and overseas portions. A booking agent supplying an arrangement service is not supplying the underlying ticket or room merely because it collects the money.
Apply the current arranging-service test
From 1 January 2023, arranging international passenger transport, related insurance and accommodation depends on the overseas contractual customer and qualifying direct beneficiaries. Local customers or local unregistered beneficiaries generally prevent zero-rating under this route, even for overseas travel. Examine principal/agent contracts, traveller status, service fees and cancellation charges. Historical pre-2023 and transition examples do not establish today’s rate; imported arranging services also need OVR or reverse-charge analysis.
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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