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, 1216KB).
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
For information on the conditions of eligibility, please refer to GST: Guide on Approved Import GST Suspension Scheme (PDF, 1216KB).
To apply for AISS, please submit
- GST F21: Application for Approved Import GST Suspension Scheme (XLS, 52KB);
- Latest audited financial statements; and
- Written declaration (endorsed by an authorised representative of your organization) that you are a player in the aerospace industry.
If you are currently under Major Exporter Scheme and wish to enjoy the additional benefits under AISS, you need to apply for AISS as a new applicant.
Self-Review or ACAP
In addition, you must either:
Perform a self-review using the Assisted Self-Help Kit (ASK) and submit the certified ASK declaration form.
Download the ASK: Declaration Form on Completing Annual Review & Voluntary Disclosure of Errors (ZIP, 67KB) (i.e. Section 3 of ASK).
The ASK declaration form has to be certified by either your own in-house or external tax professional who is accredited as an Accredited Tax Practitioner (GST) or Accredited Tax Advisor (GST) with the Singapore Chartered Tax Professionals Limited ("SCTP").
For more information on accreditation, please visit www.sctp.org.sg .
Commit/Have committed to participate in the Assisted Compliance Assurance Programme (ACAP).
For successful ACAP applicants, you do not need to submit the ASK declaration form pending the result of ACAP review and submission of ACAP Report.
I have imported goods (including goods that belong to my overseas principal) using my AISS status. How should I declare in my GST return?
Whether or not you are required to report an import in your GST return depends on the import scenario itself.
For more information, please refer to GST: Guide on Approved Import GST Suspension Scheme (PDF, 1216KB).
How is AISS different from the Major Exporter Scheme (MES)?
In addition to MES import GST suspension privileges, approved businesses under AISS can enjoy GST free importation on:
- Removal of localised or locally sourced qualifying aircraft parts from ALPS/FTZ;
- Importation of qualifying aircraft parts belonging to local or overseas persons; and
- Removal of qualifying aircraft parts as recipient of the goods for the purposes of its business.
For details, you may refer to Appendix 3 of the GST: Guide on Approved Import GST Suspension Scheme (PDF, 1216KB).