Indicative margins were introduced by the Inland Revenue Authority of Singapore (“IRAS”) in 2017 to be used in related party loans. These margins are a market interest rate recommended by IRAS to be adopted by Singapore Taxpayers for intercompany loans that do not exceed SGD 15 million.
The margins are added to a base rate to set an all-in interest rate. IRAS publishes indicative margins at the beginning of each calendar year.
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