Within a short few months, COVID-19 has spread exponentially round the world. Singapore Government in recognition of the severity of the impact of COVID-19 on businesses and workers has with quick successions announced two further stimulus packages following the main Unity Budget announcement on 18 February 2020. On 26 March 2020, the Resilience Budget was announced. This was followed in less than two week by Solidarity Budget announcement on 6 April 2020 as Singapore enters into a partial lockdown the following day. Summarised below are the key cash flow measures and cost support announced in the three Budget Speeches relevant to the Logistics and Transportation sector.


Corporate Income Tax (CIT)

  • CIT rebate of 25%of tax payable, capped at $15,000, for Year of Assessment (YA) 2020
  • Automatic extension of interest-free instalments by two more months for CIT payments on estimated chargeable income filed within three months from financial year end
  • Automatic 3-month deferment of CIT payments due in April, May and June 2020; to be collected from July 2020
  • Allow unabsorbed capital allowances and trade losses for YA 2020 to be carried back up to three immediate preceding YAs instead of one immediate preceding YA, capped at $100,000
  • Option to accelerate write-off of cost of acquiring plant and machinery in FY2020 over two years
  • Option to accelerate deduction of renovation and refurbishment expenses incurred in FY2020 in one YA

Job Support Scheme (JSS)

  • 75% cash grant on gross monthly wages, capped at $4,600, of every local worker (Singapore Citizens and Permanent Residents) in employment for month of April 2020
  • For remaining months May to July 2020, support levels differentiated by sector, capped at gross monthly wage of $4,600:
    • 75% for the aviation and tourism sectors
    • 50% for food services sector
    • 25% for all other sectors
  • First JSS payout will be brought forward to be paid in April 2020 instead of end May 2020

Wage Credit Scheme

  • Increased level of co-funding by Government of 20% and 15% on qualifying wage increases in 2019 and 2020 respectively
  • Qualifying gross monthly wage ceiling increased to $5,000 for 2019 and 2020

Property Tax Rebate

  • A rebate, the percentage of which is dependent on type of commercial property, will be granted for property tax payable for 2020
    • 100% for qualifying commercial properties (e.g. hotels. serviced apartments, shops and restaurants)
    • 60% for Integrated Resorts
    • 30% for all other non-residential properties (e.g. offices and industrial properties)
  • One month rental waiver for industrial, office and agriculture tenants of Government agencies

Foreign Worker Levy (FWL)

  • Deferral of FWL increase for Marine Shipyard for another year
  • The monthly FWL due in April 2020 will be waived
  • FWL rebate of $750 in April 2020 for previous levies paid in 2020 for each Work Permit or S Pass holder

Table showing the Loan cap for different loans for the Logistics & Transportation industry and the targeted support for land transport, aviation sector, marine sector

If you would like to tap into our professional consultancy services for your logistics and transportation business, please contact:

Lee Mong Sheong    
Partner & Industry Lead, Logistics & Transportation Practice   
T: +65 65947865 
[email protected] 

Cindy Lim  
International Tax Partner       
T +65 6594 7852       
[email protected]

Koh Puay Hoon  
Partner & Head of Tax 
T +65 6594 7820       
[email protected]

William Chua 
T +65 6594 7860       
[email protected]