What is Enterprise Innovation Scheme (EIS)?
The Enterprise Innovation Scheme (EIS) is a government initiative introduced in Budget 2023 to encourage businesses in Singapore to invest in innovation, research, and capability-building. It enhances existing tax deductions and allowances for qualifying activities, such as R&D, IP registration, innovation projects, and training.
Enhanced Tax Deductions:
Up to 400% tax deduction (or allowance) on qualifying expenditure in key innovation areas.
Cash Conversion Option:
Eligible businesses, especially SMEs, can opt to convert up to S$100,000 of total qualifying expenditure into a cash payout of up to S$20,000 per YA
R&D in Singapore, registration of IP, acquisition and licensing of IP rights, innovation projects with polytechnics/ITE, and workforce training.
To accelerate enterprise-led innovation,encourage adoption of new technologies, and help businesses build capabilities to compete globally.
