Approved Import GST Suspension Scheme (AISS) (For Aerospace Players)
Under AISS, GST-registered businesses in the aerospace industry enjoy added import GST suspension benefits for qualifying aircraft parts.
Purpose
The Approved Import GST Suspension Scheme (AISS) is designed to alleviate the cash flow of businesses in the aerospace industry.
These businesses are:
- International airlines;
- Players in the Maintenance, Repair and Overhaul (MRO) industry;
- Original Equipment Manufacturers (OEM); and
- Distributors of qualifying aircraft parts.
Benefits of AISS
AISS will allow an approved GST-registered business in the aerospace industry to enjoy import GST suspension in the following scenarios:
- Import his own goods in the course or furtherance of his business;
- Import goods belonging to his overseas principal for supply (either in Singapore or for export), as a section 33(2) agent*. The overseas principal must not be GST-registered or if he is GST-registered, the registration is as a pay-only person under the Overseas Vendor Registration (OVR) regime;
- Import goods belonging to his overseas principal which will subsequently be re-exported, as a section 33A agent*. The overseas principal must not be GST-registered or if he is GST-registered, the registration is as a pay-only person under the OVR regime;
- Import qualifying aircraft parts belonging to local or overseas persons;
- Remove localised or locally sourced qualifying aircraft parts from Airport Logistics Park of Singapore (ALPS) or other Free Trade Zones (FTZ);
- Remove qualifying aircraft parts from ALPS/FTZ as recipient for the purposes of making his taxable supplies
* For more information on sections 33(2) and 33A agents, please refer to GST: Guide on Imports (PDF, 423KB).
For more information on the scope of import GST benefits under the scheme, please refer to GST: Guide on Approved Import GST Suspension Scheme (PDF, 907KB).
Qualifying Aircraft Parts
Qualifying aircraft parts refer to parts and equipments that are designed and built for exclusive use (i.e. unique and have no alternative use) on an aircraft which is:
- Not used or intended to be used for recreation or pleasure; or
- If it is used or intended for use for recreation or pleasure, it should be wholly used or intended to be wholly used for international travel from a place:
- Outside Singapore to another place outside Singapore; or
- In Singapore to a place outside Singapore;
- Outside Singapore to a place in Singapore.
They include parts and equipment installed or incorporated in the propulsion, navigation or communication systems or general structure of such aircraft.
Applying for the Scheme