Course Description

Synopsis:

An income tax issue often encountered by employers and employees is whether a payment or benefit granted to an employee is taxable. This module seeks to equip participants with a better understanding of when payments or benefits made to employees are taxable and when they are not, and in particular, how to ascertain when an amount paid to an employee constitutes compensation for loss of office is not taxable under section 10(1)(b) of the Income Tax Act.

This module will cover the following:

• Types of payments and benefits that constitute employment income under section 10(1)(b) of the Income Tax Act.
• Review of the Income Tax Board of Review decision of GBS v CIT [2017] SGITBR 1 which held that the payment was a long-term gratuity payment and hence taxable.
• Review of the Income Tax Board of Review and High Court decisions of GCT v Comptroller of Income Tax (“CIT”) [2020] SGITBR 3 and CIT v Forsyth, John Russell [2020] SGHC 258 which held that the payment made was compensation for loss of office and hence not taxable.
• Types of payments which do not constitute employment income and are not taxable. 
• Benefits which fall within the IRAS administrative concession or are exempt from income tax.

Intended For:

• Audit Professionals / PAIP
• Finance Professionals/ PAIB
• Public Sector Finance
• C-suite & Directors

Competency Mapping: 

• CPE Category "Others" = 1.0 CPE Hour