Income from non-fungible tokens (NFTs) in Singapore will be subject to existing income tax rules, the Business Times reported, citing Singapore Finance Minister Lawrence Wong’s Friday speech in parliament.
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Fast facts
- However, individuals who receive capital gains from NFT transactions will not be taxed, as there is no capital gains tax in Singapore.
- The highest personal income tax rate in Singapore is capped at 22% for earnings above SG$320,000 (US$235,000).
- The Monetary Authority of Singapore (MAS), the country’s financial regulatory authority, has issued guidelines and warned consumers that investments in digital tokens, including NFTs, are not suitable for retail investors.
- MAS says it takes a tech-neutral stance and “looks through” to the underlying characteristics of the token to determine if it is to be regulated by MAS.
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