Business

2020 Singapore Budget to Help Businesses During COVID-19

The Coronavirus has hit the world economy hard, and Singapore has been affected by it. The months-long circuit breaker started lifting in June 2020, but some of the businesses still have to wait till the second phase to resume their operations.

With Singaporean companies not being able to operate, it has definitely has resulted in losses, but the government did not let it go unnoticed. Various incentives and rules have been introduced, among which we will shed some light into the most important ones.

Singapore Budget Highlights: Grants for SMEs

The Singapore government has allocated about $4 billion to help companies during the outbreak. It will be used for various things, such as:

Jobs Support Scheme

The government of Singapore will fund up to 25% to 75% of the first $4,600 gross monthly wages for each company’s employees for ten months. The payouts will be in April, May, July, and October. The wage subsidies for April and May will be 75%, regardless of the sector.

Property Tax Rebates

There will be up to 100% property tax rebates for qualifying commercial properties. Businesses like Shops, Restaurants, Hotels, Zoo, etc. will get a 100% rebate. Integrated Resorts in the Marina Bay Sands and Resorts World Sentosa will receive a 60% discount on property taxes and other non-residential properties like Warehouse and Office Buildings will benefit from 30% property tax refunds.

Rental Costs

Apart from the property tax rebates, the government has also announced a Cash Grant Rental Relief in Singapore to help tenants.

Offices running on rental properties can get a cash grant for rental relief. The government will provide cash to tenants through property owners, which will cover two months of rent. Furthermore, the government has asked landlords to be more lenient about the rent. If the tenant’s company did not make much income, the landlord might have to offer them a discount for an additional two months.

Various other relief grants and schemes have been set up to help companies during the Covid-19 outbreak. You can refer to a complete Singapore Budget 2020 Summary to understand how these grants and schemes can help your firm.