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Tax Incentives Scheme for Chemical Hazards Control

The Tax Incentives Scheme for Chemical Hazards Control is a scheme that helps companies recover the cost of implementing chemical hazard control measures.

What it covers

If you are an employer, you can apply for Tax Incentives Scheme for Chemical Hazards Control. This scheme provides tax incentives to help you recover the cost of implementing the chemical hazard control measures in a 1-year period.

How to qualify

To qualify for the accelerated depreciation allowance, you need to implement chemical hazard control measures (e.g. machines, equipment, systems or devices). If you need assistance, you could engage a consultant to help you in your implementation.

The equipment or systems must:

  • Be new (used or reconditioned items don't qualify).
  • Belong to you (rented items don't qualify).
  • Not cause other health risks e.g. emit excessive noise.
  • Not have received financial grants from other Government agencies.

The concentration of toxic substances given off by the implemented chemical hazard control measures should be under 50% of the permissible exposure level (PEL), as specified in the Workplace Safety & Health (General Provisions) Regulations, First Schedule.

Measurements required

For existing machines, equipment, systems or processes with chemical hazard control devices or measures installed or implemented, the concentration of toxic substances should be as follows:

If initial concentration is Concentration of toxic substances should be
Above 50% of the PEL Below 50% of the PEL
Below 50% of the PEL Below 10% of the PEL

If the concentration of toxic substances is more than half the value of the above concentrations, then a third measurement must be taken. You will use the average of the second and third measurements.

You need to engage a certifying agency certifying agency to take the measurements. The measurements should be taken as follows:

  • Over at least half a work-shift.
  • From either 1 metre away or at the operator's position, whichever is nearer.

How to apply

To apply for the scheme:

  1. Hire a certifying agency to:
    • Measure the concentration of toxic substances in the air.
    • Compile an Evaluation Report certifying that the applicant qualifies for the scheme.
    • Prepare the Application/Certification Form.
  2. Submit the Applicant’s Particulars Form to the certifying agency to help them prepare the Application/Certification Form.
  3. Submit these documents to the Ministry of Manpower's Occupational Safety and Health Division (OSHD):
    • A copy of the Application/Certification Form.
    • A copy of the Evaluation Report.
    • Layout plan.
    • Product brochures or illustrations.
  4. Upon approval from OSHD, submit the following documents to the Inland Revenue Authority of Singapore (IRAS) when you file your taxes:
    • Application/Certification Form.
    • Evaluation Report.
    • Relevant supporting documents e.g. receipts.

Refer to the Income Tax Act, Chapter 134, Sections 7 and 19(A) for more details.

Certifying agencies

There are two certifying agencies:

TUV SUD PSB Corporation Pte Ltd
1 Science Park Drive
Singapore 118221
Tel: 6778 7777 or 6885 1214
Fax: 6778 4301

Centre for Environmental and Occupational Health (CEOH)
Saw Swee Hock School of Public Health
National University of Singapore
MD3, 16 Medical Drive
Singapore 117597

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