Concessionary IP tax rates
Qualifying IP income can benefit from concessionary rates under Singapore's IP Development Incentive, on top of a 17% headline corporate tax rate.
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Singapore IP Entity Structuring
Centralise your patents, trademarks, and software in a dedicated Singapore entity.
Tech-heavy businesses use a Singapore IP entity to hold and license patents, software, and trademarks separately from operating companies, with concessionary tax rates on qualifying IP income and enhanced deductions for R&D under s14C/14D of the Income Tax Act. The Founders Bureau incorporates the entity and puts documented substance behind it.
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Group / OpCo
Licenses IP, pays royalties
Singapore IP Entity
Patents
Trademarks
Software
Licensing income
structure.advantages
Why founders centralise IP in Singapore
Holding your intellectual property in a dedicated Singapore entity separates it from operating risk and unlocks concessionary tax treatment on qualifying IP income.
Enhanced R&D deductions
Enhanced deductions under s14C/14D of the Income Tax Act for qualifying research and development expenditure carried out in Singapore.
Ring-fenced IP risk
Separating IP ownership from your trading entities protects your patents, trademarks, and software from operating liabilities.
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How we structure your IP entity
Incorporate the entity
The Singapore IP entity is incorporated with a resident director and a constitution scoped to holding and licensing intellectual property.
Transfer or assign IP
We coordinate with your counsel on assigning or licensing patents, trademarks, and software into the new entity.
Build IP substance
Staff, decision-making, and documented development activity in Singapore support eligibility for incentive schemes.
Document licensing terms
Transfer pricing documentation supports arm's-length royalty or licensing fees charged to related operating companies.
scope.of.work
What we handle
End-to-end incorporation and administration support for your Singapore IP holding structure.
Scope of services
- Incorporation: Company registration, constitution drafting, resident director appointment, and bank account introductions.
- IP structuring: Coordination on IP assignment or licensing agreements with your counsel.
- Transfer pricing: Documentation supporting arm's-length royalty and licensing arrangements with related parties.
- Accounting & tax: Bookkeeping, corporate income tax filings, and support with incentive scheme applications.
Roles & duties
- Corporate Secretarial: Statutory registers, minute-keeping, and filings required to maintain good standing with ACRA.
- Advisory Coordination: Liaison between your IP counsel and tax advisers on substance requirements and incentive eligibility.
questions
Frequently asked questions
Patents, trademarks, copyrighted software, trade secrets, and other qualifying intellectual property can be held and licensed through a Singapore IP entity.
Substance generally means employed staff, documented decision-making, and development activity actually carried out in Singapore, not just the entity's place of registration.
The IP entity licenses the intellectual property to your operating companies under an arm's-length royalty or licensing agreement, supported by transfer pricing documentation.
No. Singapore permits 100% foreign shareholding for private limited companies. You do need at least one locally resident director, which we can help arrange.
Typically for tech-heavy businesses with meaningful patents, proprietary software, or trademarks, especially where licensing income across multiple markets is expected.
Fees are priced transparently based on your IP portfolio and the services you need. Contact us for a tailored quote.
Ready to centralise your IP in Singapore?
The earlier you separate IP ownership from operating risk, the cleaner your structure looks to investors, acquirers, and tax authorities. Talk to us before your portfolio grows more complex.
Speak to Our TeamWe typically turn around a Singapore IP entity incorporation within 5–7 business days of receiving instructions.
Send us a message
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