There has been a growing demand for high-net worth families to set up family offices as a means to wealth accumulation and inheritance. As families are transitioning into the next generation, they seek for destination which could best serve their interest in implementing simple, compliant, feasible and tax efficient structure worldwide. In this sense, Singapore comes first choice.
Application requirements
To apply for Singapore Family Office EP, you need to satisfy following requirements:
1. Investment amounts to a minimum of SGD 20 million for 13O Plan A, and a minimum of SGD 5million for 13O Plan B. The process of capital accumulation and the source of funds should be well explained.
For 13O Plan A, 10% of the total investment under management within each family office structure should be invested domestically in Singapore.
2. Annual business spending (including salary, rent, annual audit and bookkeeping fees, accounting fees, structure maintenance fees, etc.) of the fund reaches SGD 200,000.
3. For 13O Plan A, each family office structure requires to hire at least one investment professional who is a non-family member. Managers of family office can apply for the EP to come to Singapore.
4. For managers of family office to apply for EP, applicants should i)have no criminal records or other undesirable records, ii)are not politically exposed persons (serving or affiliated), and iii)are not citizens of the United States.
Program Benefits
1. By setting up a family office structure in Singapore and managing investment from SGD 5 million, high-net worth families can enjoy carefree succession of generation.
2. Simple arrangement of establishing two family office structures qualifies for tax exemption.
3. A family office structure provides access to at least two EPs, which is a feasible route towards Singapore permanent residence and eventually citizenship.
