Are you aware that all training programs are eligible for the PIC grant in Singapore?
The Singapore government is giving generous grants to train the employees and improve their productivity through the Productivity and Innovations Credit Scheme. It is governed by the IRAS of Singapore.
The PIC Grant was enhanced in the current budget by the Singapore government, and now covers all kinds of training courses at Intellisoft.
Under the PIC Grant for the Training of Employees, you can get 40% Cash Payout or 400% Tax Rebate on the total Training Amount Spent by the Company.
Brief Description of Qualifying Expenditure under PIC
Costs incurred to provide training to staff for the purposes of the trade and business. Training refers to:
- External training;
- In-house training accredited by Singapore Workforce Development Agency (WDA). From YA 2012 to YA 2015, if the training is not WDA-accredited, a cap of $10,000 per YA applies.
Examples of Qualifying Expenditure
- External course fees for staff.
- Costs incurred on internal Workforce Skills Qualification (WSQ) courses for employees’ skills upgrading.
- Training of prescribed agents/ representatives from YA 2012
Examples of Non-Qualifying Expenditure
- Examination fees for courses without attending the course training.
- Course fees on training attended by business owners.
How much can you get from the PIC Grant for Training your Employees?
You can get 40% of the training fee in Cash from IRAS. Or you can opt for the Tax Rebate of 400%.
So for example, if you spend $5,000 for an in-house training, you can get $2,000 back in Cash, or you can reduce your Tax Liability by $20,000 (4 Times of your training expense).
This is a fantastic scheme, and you should take the benefits of this scheme before the year ends.