The list of grants below is not intended to be exhaustive. For more information on other types of grants available, please refer to the SME Portal.
General guiding principle on the taxability of grant/ payout:
1
Productivity and Innovation Credit (PIC) Cash Payout
PIC scheme expires after YA 2018
IRAS
To encourage companies to undertake improvements in productivity and innovation
Not taxable as the payout received is an outcome arising from the conversion of tax benefits (i.e. 400% tax deductions/ allowances) into cash
2
PIC Bonus
(PIC Bonus is only applicable from YA 2013 to YA 2015)
To defray companies' rising operating costs such as wages and rentals; to encourage companies to undertake improvements in productivity and innovation
Taxable as the payout is revenue in nature
3
Wage Credit
To help companies that may face rising wage costs in a tight labour market
4
Government Paid Leave/ Benefit including:
MOM and CPF Board
To defray companies' operating costs
5
Special Employment Credit (SEC)
CPF Board
6
iSPRINT
IMDA
To support SME's use of technology to boost SME's productivity and growth
Taxable as the grant is revenue in nature