As an investor, you will invest in a stock, a business, a partnership that is based overseas.

These stocks, business or partnership are incorporated or domiciled in another country. These stocks, business or partnership may declare dividends, interests or capital payments to you as a shareholder in Singapore.

Once the dividends, interest or capital payments exit a specific country there is a withholding tax on these income, dividends, interest and capital payments.

There is no running away from withholding tax. I sort of validate this when I have the privilege to meet the subject matter experts that are recommending offshore investment bonds.

These bonds fulfills a specific tax planning role for expatriates, but also Singaporeans with assets in other countries. I shall not go too much into it.

Understanding withholding tax is something you cannot run away, whether you are a