Get Live Quote Global mobility case study: Expatriate tax management
Singapore
Challenge
The client is a British-based company with global presence engaged globally with assignees in the APAC region. The regional HR team required assistance with their expatriates and technical guidance for a number of their assignees. Tax equalization was rolled out but the local regional team did not know how to manage this process. They also had some more complicated cases such as employees with a dual Singapore/Chinese role. Despite having had assignees for a number of years, they had not been compliant and having moved onto a tax equalized program wanted to ensure compliance to reassure their employees as well as minimize any risks from tax authorities challenging them. The client faced lack of expertise leading to non-compliance, disenchanted assignees, and complicated issues not being addressed.
Solution
Grant Thornton provided comprehensive support across multiple areas:
For the day to day assignment management, Grant Thornton assisted the employer with:
- Tax briefing meetings
- Tax return assistance in home and host location
- Hypothetical tax calculations and tax equalisation settlement calculations
- Advice on payroll and employment tax reporting obligations in each location
- Review of their equity plan and summary of the tax implications for their employees in each country
For their ad hoc assignees, Grant Thornton provided holistic proactive advice to assist them manage their tax exposure. This included moving their Singapore/Chinese employee onto a dual contract and assisting them with reporting in each jurisdiction to ensure compliance.
The services provided included managing the tax equalisation process, tax briefing meetings, tax returns, assisting with complicated situations and structuring assignments. Geographies served included UK, Ireland, China, Australia, Vietnam, Malaysia, Singapore and New Zealand.
Results
Their employees have a team that they can go to on their tax affairs allowing them to concentrate on their assignment. The employer is now compliant in respect of their assignees.
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