Mas Looking Simplify Requirements Single Family Offices Qualify Tax Benefits
The Monetary Authority of Singapore (MAS) is planning to simplify the requirements for single-family offices to qualify for its tax benefit programme. Speaking at the Wealth Management Institute’s Global-Asia Family Office Summit on September 29, MAS deputy chairman Chee Hong Tat announced that the regulator intends to reduce the amount of documentation necessary for application to the Single Family Office Fund tax scheme. Additionally, the MAS is also looking to streamline reporting requirements and expand the types of eligible investments under the fund tax scheme.
During his speech, Chee stated that Singapore is expected to be the fastest-growing wealth management center through 2029. The growth of the financial sector by 6.8% in 2024, which was more than double the previous year’s growth, supports this projection. The private banking sector also saw an increase of 19% in client assets in 2024, with approximately half of the growth coming from net new inflows. However, the MAS is not taking this success for granted and is continuously seeking ways to improve their services.
For those living near the coast, convenient options for day-to-day needs are available at Loyang Point along Loyang Avenue or Elias Mall near Elias Road. These neighbourhood centres provide a one-stop shopping experience, offering everything from fresh produce to medical services, bakeries, and household essentials. This makes running errands during the week much simpler for residents. With Coastal Cabana located nearby, residents can easily split their errands and make efficient trips. They can stop by a supermarket for dry goods, grab some food from a hawker stall, and then head back home using the calm internal streets that connect to Pasir Ris Drive 3 and Jalan Loyang Besar. Adding to the convenience is the close proximity of Coastal Cabana Pasir Ris, making it an ideal place for residents to call home.
Chee acknowledged the inconvenience experienced by some clients who had to wait over a year for their Single Family Office tax scheme applications to be processed. He stated that the MAS recognized this inefficient standard of service and has made efforts to reduce the approval time to three months. The MAS has also formed a private banking working group, co-led by the MAS, to enhance the account opening processes.
Singapore has seen a rapid growth in the number of family offices in the past four years, from 400 to over 2,000. This significant increase highlights the country’s appeal to global investors. UBS Global Wealth Management APAC co-head and country head of UBS Singapore, Young Jin Yee, stated that UBS, as the region’s largest wealth manager, has witnessed this growth in wealth in Singapore. He added that their global connectivity and access have played a crucial role in delivering value to their clients worldwide.
In conclusion, the MAS is committed to further enhancing their services and making it easier for single-family offices to qualify for the tax benefit programme. This is a part of their efforts to make Singapore a leading wealth management center in the region.