Tax for VCCs

Share duty is not chargeable on general cancellation and issuance of shares by a non-umbrella VCC or an umbrella VCC, unless it is to effect a disposal of the shares by a transferor to a transferee. In the latter case, the cancellation of shares held by the transferor and the issuance of new shares in the non-umbrella VCC or umbrella VCC to the transferee will be treated as a transfer of shares under section 33 of the Stamp Duties Act and share duty will be charged accordingly. The Singapore stamp duty applicable is 0.2% on the higher of the amount of consideration or the net asset value of the shares acquired.