Measures to provide support for businesses
PIC+ scheme (announced in Budget 2014)
The PIC+ scheme will help qualifying SMEs which make substantial investments to revamp their businesses. Under the PIC+ scheme, qualifying SMEs that incur qualifying expenditure in excess of the three-year combined expenditure cap of $1.2 million in any of the six activities will be eligible to enjoy the enhanced tax deductions on up to $600,000 instead of $400,000 under PIC with effect from Year of Assessment (YA) 2015.
3-Year Transition Support Package (announced in Budget 2013)
The 3-Year Transition Support Package will help businesses restructure and share productivity gains with their workers in the form of higher wages. This package consists of:
a. Wage Credit Scheme;
b. Productivity and Innovation Credit (PIC) Bonus; and
c. Corporate Income Tax (CIT) Rebate
To help businesses better understand how they can benefit from these schemes, we have created three business calculators. They will help to compute the benefits businesses stand to gain from these schemes by investing in productivity and innovation, and sharing their productivity gains with workers through higher wages. The business calculators provide businesses with a sense of how much they may benefit from their investments in productivity and innovation as well as from the Transition Support Package.
Last updated on 31 Mar 2014