The Income Tax (Exemption and Concessionary Tax Rate for Income from General Business) Regulations 2017 (S 614/2017) were made by the Ministry of Finance, with MAS involved in assessing eligibility, and were amended in 2025 by S 869/2025.

Core content:

1. An approved captive insurer is subject to a concessionary tax rate of 10% on income from qualifying insurance business (applicable to captives approved between 1 June 2017 and 18 February 2025), far below the standard corporate tax rate of 17%.

2. Captives newly approved from 19 February 2025 are subject to a concessionary tax rate of 15%.

3. Separately, with effect from 17 February 2006, approved captive insurers also have an exemption arrangement for income from offshore insurance business.

Combined with Singapore's sound legal and regulatory environment, these tax incentives make Singapore an important captive domicile in the Asia-Pacific region.

Official text: https://sso.agc.gov.sg/SL/ITA1947-S614-2017