Latest Updates

• Updated the table in paragraph 5.8 on the sections of the ITA where a VCC will not be allowed a deduction for expenses and inserted new footnote 19.
• Inserted new footnote 22 on qualifying preference shares.
• Updated footnote 28 to reflect the CIT rebate and CIT rebate cash grant announced in Budget 2025. 
• Inserted new paragraphs 5.22 to 5.24 to incorporate the section 13W enhancements announced in Budget 2025.
• Inserted new paragraphs 5.30 to 5.35 to provide information on how control is determined for VCCs and their sub-funds.
• Inserted a new section 8 on frequently asked questions.
• Updated the numbering of footnotes and sections.

• Amended paragraphs 1.2, 2.2, 2.3, 3.3, 5.1 and 5.2 to reflect the enhancements to the scheme announced in Budget 2025
• Inserted Annex A2 to provide examples on application of conditions to be met (for disposals of shares on or after 1 January 2026)
• Inserted Annex B2 to provide flowchart illustrating the application of the scheme (for disposals of shares on or after 1 January 2026)
• Inserted new footnotes 1, 9, 14 to 18 and updated the numbering of footnotes
• Renumbered the Annexes
• Made editorial changes to other paragraphs arising from the enhancements announced in Budget 2025

• Updated paragraphs 1.1, 5.8.3, 6.5.2, 6.5.3 and 8.1 and added paragraphs 2.9 – 2.14 and 7 and footnotes 21 and 23 to introduce tax deduction on payments to the holding company or SPV for the issuance of new shares of the holding company under EEBR schemes and simplify tax deduction rules for transfer of treasury shares under EEBR schemes.
• Updated footnotes 7 and 8 with the revised e-tax guide on “Tax Treatment of Employee Stock Options And Other Forms of Employee Share Ownership Plans (Fifth Edition)” published on 3 April 2025.
• Inserted Annex 1 to provide a summary of the amount of tax deduction from YA 2026 and renumbered the Annexes.
• Updated the dates in the examples in the Annexes 2 to 5. 

Update Authorisation guide for submission of employment income records.