EP PEP Question/Holding Shares

[zank]

Hi,
I currently have an EP in singapore and am hired as an analyst in a fund management company who sponsored me for the EP.

Q1: As an EP holder, is it possible to hold shares in the hiring company? I have an opportunity to acquire 10% of the company. Is this allowed?

Q2: Also, if one has a PEP, i believe they are not allowed to hold shares in a company (pte ltd). If an EP holder is allowed to hold shares and a PEP is not, what is process for converting a PEP into an EP? is this a re-application or is there a way to just convert it quickly?

Q3: if an EP holder is allowed to hold shares in a singapore company, is there a limit? would 60-85% be ok to hold under EP?

Q4: This company has a capital market exemption from MAS. To complicate things, would anyone know if any MAS rules are in conflict wiht MOM rules in terms of share holding.

[ecureilx]

Q2: Also, if one has a PEP, i believe they are not allowed to hold shares in a company (pte ltd). If an EP holder is allowed to hold shares and a PEP is not, what is process for converting a PEP into an EP? is this a re-application or is there a way to just convert it quickly?

Seriously, you need to read up on EP and PEP and then you will know which one is the better evil ..

While everybody wants PEP as PEP is practically the same as residency, wonder why you want to convert ..

As for the other questions, you maybe better off seeking help from a company secretary.

[zank]

Hi, thanks for the reply. I've read up on both, but im still unclear on certain things. I have spoke to a company secretary, as well as a lawyer, and of course they have given me the legality of everything but i wanted to know the practical side of things.

Yes, PEP is like residency and everything, but like i mentioned, PEP holder cannot hold shares in a company, while for an EP its a grey area. Thus i would like to convert to an EP to hold shares in a company.

Q2: Also, if one has a PEP, i believe they are not allowed to hold shares in a company (pte ltd). If an EP holder is allowed to hold shares and a PEP is not, what is process for converting a PEP into an EP? is this a re-application or is there a way to just convert it quickly?

Seriously, you need to read up on EP and PEP and then you will know which one is the better evil ..

While everybody wants PEP as PEP is practically the same as residency, wonder why you want to convert ..

As for the other questions, you maybe better off seeking help from a company secretary.

[sundaymorningstaple]

PEP is not all it's cracked up to be. Search for a post I made recently on the PEP for the lowdown.

[zank]

PEP is not all it's cracked up to be. Search for a post I made recently on the PEP for the lowdown.

16k posts!! its like a needle in a haystack. nonetheless i'm going over your older posts, theres alot of other useful inf oin there as well hopefully i can learn a thing or two.

This is off topic slightly, but since you're experienced I thought i'd ask. i just got my EP this year, how does government ascertain taxes on money not earned in singapore? Yes i know income earned outside singapore is not taxes. But i am getting a one time transfer from an outside singapore source, how does the government know if this was just money from something else, or additional income in singapore? i've heard that the government knows all money going in and out of your bank account, so i don't want any confusion of them seeing a couple of additional non income sources and thinking its extra income in singapore and thus taxing me.

[sundaymorningstaple]

PEP is not all it's cracked up to be. Search for a post I made recently on the PEP for the lowdown.

16k posts!! its like a needle in a haystack. nonetheless i'm going over your older posts, theres alot of other useful inf oin there as well hopefully i can learn a thing or two.

This is off topic slightly, but since you're experienced I thought i'd ask. i just got my EP this year, how does government ascertain taxes on money not earned in singapore? Yes i know income earned outside singapore is not taxes. But i am getting a one time transfer from an outside singapore source, how does the government know if this was just money from something else, or additional income in singapore? i've heard that the government knows all money going in and out of your bank account, so i don't want any confusion of them seeing a couple of additional non income sources and thinking its extra income in singapore and thus taxing me.

I would assume this transfer is from a bank? Is it your account? If so, then there shouldn't be a problem with it. You can bring any amount of money into the country you want, but you just have to declare it to MAS. Rich Indonesians have been bringing their money over here to stash it in Singapore for years. In fact, I'd be willing to bet half of Sentosa Cover is owned by wealthy Indonesian Businessmen.

RE: my statement on PEP, I meant in the last couple of days or so, not the last 7 years! Although, there's heaps of info there as well, but a lot may have been superseded by now. Anyway, here's the link:

http://forum.singaporeexpats.com/ftopic77170.html

[zank]

First case: No the transfer isn't from my own bank account. Its from another company/individuals bank account from abroad. How do i ensure this is non taxable.

Second case: the company that is now paying me in singapore, owes me some money from last year as well (when i was in canada working for them). This money could potentially be transferred from their canadian or singapore account to my singapore account, but its not current year income. Is this very complicated to figure out with MAS and thus should avoid it?

PEP is not all it's cracked up to be. Search for a post I made recently on the PEP for the lowdown.

16k posts!! its like a needle in a haystack. nonetheless i'm going over your older posts, theres alot of other useful inf oin there as well hopefully i can learn a thing or two.

This is off topic slightly, but since you're experienced I thought i'd ask. i just got my EP this year, how does government ascertain taxes on money not earned in singapore? Yes i know income earned outside singapore is not taxes. But i am getting a one time transfer from an outside singapore source, how does the government know if this was just money from something else, or additional income in singapore? i've heard that the government knows all money going in and out of your bank account, so i don't want any confusion of them seeing a couple of additional non income sources and thinking its extra income in singapore and thus taxing me.

I would assume this transfer is from a bank? Is it your account? If so, then there shouldn't be a problem with it. You can bring any amount of money into the country you want, but you just have to declare it to MAS. Rich Indonesians have been bringing their money over here to stash it in Singapore for years. In fact, I'd be willing to bet half of Sentosa Cover is owned by wealthy Indonesian Businessmen.

RE: my statement on PEP, I meant in the last couple of days or so, not the last 7 years! Although, there's heaps of info there as well, but a lot may have been superseded by now. Anyway, here's the link:

http://forum.singaporeexpats.com/ftopic77170.html