Singapore Branch vs Subsidiary vs Rep Office

                       

     S’PORE BRANCH         S’PORE SUBSIDIARY        S’PORE REP OFFICE

Legal Type	Not a separate legal entity but an extention of the parent company	Separate legal entity  distinct from its parent company	Has no legal status but just a temporary administrative arrangement
Liabilities	Liabilities extend to parent company	Liabilities limited to subsidiary	Liabilities extend to parent company
Entity Name	Must be the same as the parent company	Can be the same or different from parent company	Must be the same as parent company plus must include ‘Representative Office’
Allowed Activities	Must be the same as the parent company	Can be the same or different from parent company	Can only conduct  market research or feasibility studies
Validity Period	Registered forever until closed	Registered forever until closed	Has to be renewed every year with a 3 year maximum
Normal Registration Time	1-2 days	1-2 days	3-5 days
Taxation	Taxed as non-resident entity, local tax benefits not available	Taxed as Singapore resident entity, local tax benefits available	N/A as Rep Office cannot generate income
Annual Filing	Must file branch office as well as parent company’s accounts	Must file accounts of the Singapore subsidiary	N/A
Bank Account	Can open bank account in Singapore	Can open bank account in Singapore	Can open bank account in Singapore to run the cost centre operations. Must be funded by the parent company.
Staff Hiring	No restrictions on hiring local or foreign staff	No restrictions on hiring local or foreign staff	Chief representative must be a staff member from the parent company. Can have only five employees.
Appointment of Officers	Must appoint at least one local authorised representative	Must appoint at least one local resident director	Must appoint a Chief Representative who will relocate from headquarters