Emperador Inc. (EMI) has detailed the collection and payment mechanics for the 0.1% stock transaction tax (STT) on the sale of its shares traded on the Singapore Exchange Securities Trading Limited (SGX-ST), a rate that will take effect on Jul, 01 2025, down from the previous 0.6%.
The STT, calculated on the gross selling price of each transaction, is a final tax payable by the seller. Singapore brokers must withhold the levy at settlement and remit it to the Philippines Bureau of Internal Revenue (BIR).
BDO Securities Corporation has been appointed as the receiving and remitting agent. Seventeen Singapore brokers are currently onboarded with BDO for this purpose: CGS-CIMB Securities (Singapore) Pte. Ltd.; Citigroup Global Markets Singapore Securities Pte. Ltd.; CLSA Singapore Pte Ltd; Daiwa Capital Markets Singapore Limited; DBS Vickers Securities (Singapore) Pte Ltd; iFAST Financial Pte Ltd; Instinet Singapore Services Pte. Ltd.; JP Morgan Securities Singapore Private Limited; KGI Securities (Singapore) Pte. Ltd.; Lim & Tan Securities Pte Ltd; Macquarie Capital Securities (Singapore) Pte. Limited; Maybank Securities Pte. Ltd; OCBC Securities Pte Ltd; Philip Securities Pte Ltd; Tiger Brokers (Singapore) Pte Ltd; UBS Securities Pte Ltd; and UOB Kay Hian Private Limited.
Should a broker cease using BDO or if BDO stops acting as agent, the broker must implement an alternative remittance arrangement; otherwise, its clients may be unable to trade EMI shares on the SGX-ST.
Emperador Inc. advises investors to consult their professional advisers and their respective brokers on the tax, legal and procedural implications of trading EMI shares on the SGX-ST.