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The Refundable Investment Credit (RIC) is a powerful tax incentive designed to encourage substantial, high-value economic activities in Singapore. However, unlike general tax deductions, eligibility for the RIC is specific and subject to rigorous review, primarily by the Economic Development Board (EDB) and the Inland Revenue Authority of Singapore (IRAS). 

This deep-dive guide from FI Group Singapore outlines the core criteria for eligibility, the industries typically prioritized, and the critical role of official legislation in your application. 

 

The Three Pillars of Refundable Investment Credit Eligibility

Eligibility for the Refundable Investment Credit rests on satisfying three main criteria: the applicant company, the specific investment project, and the economic benefits delivered.

Applicant Company Criteria (Who Can Apply?)

The company applying for the RIC must meet specific foundational requirements: 

• Tax Status: The applicant must be a company incorporated in Singapore and subject to Singapore income tax. 

• Business Intent: The company must be carrying on or intending to carry on a qualifying project or business activity in Singapore. 
• Financial Standing: Applicants must demonstrate a strong commitment to the project, usually through substantial financial projections and the ability to execute the proposed investment plan. 

The Qualifying Investment Project

The RIC is not an automatic credit; it is tied directly to an approved investment project. A project is generally deemed eligible if it: 

• Involves Substantial Investment: The EDB typically sets a minimum threshold for capital expenditure that must be met within a specified investment period (e.g., three to five years). 

• Generates Economic Value: The project must demonstrably contribute to Singapore’s economy, often measured by high-value job creation, skills development, and significant value-add (such as increasing intellectual property creation or adopting advanced manufacturing technologies). 

• Falls within Prioritized Sectors: The investment must align with Singapore’s strategic economic direction (as detailed in Section 2). 

• Legislative Compliance

All claims must adhere strictly to the Income Tax Act (ITA) and the specific terms and conditions set out in the relevant Gazette Notification that formalizes the RIC scheme. 

Key Takeaway: Eligibility is not just about the size of the investment; it’s about the strategic value and future-readiness of the project as assessed against government policy. 

 

Which Industries Are Prioritized for the RIC?

The EDB, in administering the RIC, focuses on investments that contribute to the long-term competitiveness and transformation of the Singapore economy. While the official list can be adjusted based on policy cycles, prioritized areas consistently fall under these high-growth, high-value categories: 

Prioritized Industry Cluster	Typical Investment Focus
Advanced Manufacturing & Engineering	Robotics, Additive Manufacturing (3D Printing), Smart Factory technologies, Aerospace MRO.
Digital Economy & Technology	Data Centres, Artificial Intelligence (AI) development, Cybersecurity solutions, Software R&D labs.
Biomedical Sciences	Pharmaceutical manufacturing, Medical device development, Clinical research facilities.
Green Economy & Sustainability	Carbon capture and storage (CCS) technologies, Renewable energy infrastructure, Sustainable materials innovation.
Innovation & R&D	Establishment of regional R&D headquarters, Intellectual Property (IP) creation and management, new product design.

The EDB’s Criterion: Projects are assessed on their ability to create high-quality jobs, introduce new and critical capabilities into Singapore, and deepen technological expertise, solidifying Singapore’s status as a global hub. 

 

The Critical Role of RIC Legislation and Approval

Understanding the legislation is paramount, as the RIC is a discretionary incentive. This means the grant of the credit is at the discretion of the EDB and IRAS, not an automatic right. Pre-Application Approval is Mandatory

You must apply for and obtain prior approval from the EDB before incurring the qualifying capital expenditure. 

Understanding “Refundable”

The term Refundable Investment Credit means that if the credit granted exceeds the company’s corporate tax liability for that year, the balance of the credit can be refunded in cash to the company. This is what makes the RIC exceptionally valuable, particularly for companies in expansion or investment phases where taxable income might be low in the short term. 

1. The EDB-IRAS Loop

• EDB (Economic Development Board): Assesses the strategic merit of your project, determines if it qualifies, and specifies the percentage of qualifying expenditure. 

• IRAS (Inland Revenue Authority of Singapore): Administers the actual tax claim process and handles the refund after the EDB has certified the qualifying expenditure incurred. 

Book Your Free RIC Eligibility Consultation Today 

 

Global Tax Compliance and the RIC: BEPS 2.0 Readiness

For Multinational Corporations (MNCs) affected by the OECD’s BEPS 2.0 Pillar Two rules the classification of tax incentives is a major strategic concern. 

The Refundable Investment Credit (RIC) is structured to be compliant with these new international tax rules: 

The Status of RIC as a QRTC 

The RIC qualifies as a Qualified Refundable Tax Credit (QRTC) under the Pillar Two framework. A tax credit is considered a QRTC if it is refundable in cash or can be used to settle other tax liabilities within a specific short period. 

• Benefit: Because the RIC meets this cash-refundable definition, it is treated as income for financial accounting purposes, not as a reduction in corporate tax. 
• Result: The RIC does not reduce the Effective Tax Rate (ETR) used for the Global Minimum Tax calculation. This means the benefit of the credit can be fully realized without triggering top-up taxes in other countries—preserving the full value of the investment incentive. 

 

FI Group Singapore’s Strategic Advantage in RIC Applications

While the regulatory framework is clear, securing the maximum possible Refundable Investment Credit (RIC) requires a specialized, process-driven approach. FI Group Singapore is uniquely positioned to maximize your claim by bridging the gap between your finance team and the EDB’s strategic objectives. 

Our service specifically addresses the three most common failure points for RIC applicants: 

1. Strategic Alignment & Proposal Drafting: We translate your investment plan into the EDB’s strategic language, ensuring your proposal clearly demonstrates high-value economic contribution, the most critical factor for discretionary approval. 

1. Qualifying Expenditure Audit: We conduct a forensic analysis of your capital expenditure projects to identify all eligible costs, often uncovering expenses missed by internal finance teams. Our expertise ensures full compliance while maximizing the claimable base. 

1. End-to-End EDB-IRAS Management: We manage the complex communication and submission process with both the EDB (for approval) and IRAS (for claiming the credit), ensuring seamless transition between the pre-approval phase and the final tax filing. 

Our proven methodology is governed by a rigorous multi-stage approach, ensuring no detail is overlooked, from initial assessment to final disbursement. This proprietary process, detailed below, is what drives maximum claim success for our clients: 

 

Ready to Navigate RIC Eligibility? 

The Refundable Investment Credit offers one of the most powerful cash incentives for strategic investment in Singapore. However, the complexity of the eligibility criteria, the required detailed projections, and the mandatory pre-approval process mean that expert guidance from FI Group Singapore is necessary for optimal success. 

Don’t risk submitting a suboptimal application or missing out on key qualifying expenditures. 

Contact FI Group Singapore today for an Expert RIC Eligibility Consultation. 

A Guide to Government Bodies and Their Grant Schemes

Singapore’s reputation as a global innovation hub is backed by a robust network of government agencies offering targeted grants and tax incentives. These programmes are designed to help businesses, from startups to large enterprises, accelerate R&D, adopt new technologies, and build future-ready capabilities. 

In this guide, we explore the key government bodies present in Singapore and the innovation schemes they offer. Whether you’re looking to co-fund a digital transformation project or claim tax deductions for R&D, there’s a programme tailored to your needs. 

Check out our Types of Grants In Singapore | 2025 Guide for CFOs and Founders.

Enterprise Singapore (EnterpriseSG) 

EnterpriseSG is the government agency championing enterprise development. It supports startups and SMEs in building capabilities, innovating, and expanding internationally through targeted grants and programmes.  

Key Programmes: 

Grant	Purpose	Funding
EDG	Business transformation	Up to 70%
CTC Grant	Worker-centric transformation	Up to 70%
T-Up	R&D capability via A*STAR secondment	Up to 70%
Startup SG Tech	Early-stage tech development	Up to S$800,000
Resource Efficiency Grant for Emissions (REG(E))	Emissions reduction through energy-efficient upgrades	Up to 70% for SMEs, capped at S$30,000 (Base Tier) or S$350,000 (Advanced Tier)

 

Economic Development Board (EDB) 

EDB is Singapore’s lead agency for attracting investments and fostering innovation in high-value sectors. It supports companies undertaking strategic R&D and expansion projects that contribute to national economic priorities. 

Key Programmes: 

Grant	Purpose	Funding
Research and Innovation Scheme for Companies (RISC)	Supports companies in expanding R&D teams and executing innovation projects that develop new or improved products or processes	60% support for local manpower; 30% for foreign manpower and equipment
Refundable Investment Credit (RIC)	Encourages significant new or expanded investments in Singapore across manufacturing, services, and growth sectors	10%, 30%, or 50% refundable tax credit on qualifying expenditures

 

 

Monetary Authority of Singapore (MAS) 

MAS is Singapore’s central bank and financial regulator. It drives innovation in the financial sector through the FSTI framework, supporting fintech, ESG, AI, and quantum technologies. 

Key Programmes: 

Grant	Focus	Funding
FSTI Quantum Track	Quantum tech pilots	Up to 50%
FSTI Centre of Excellence	Financial innovation hubs	Up to S$250,000
FSTI Innovation Acceleration	Nascent tech	Up to S$400,000
ESG FinTech Grant	Sustainable finance	Up to S$500,000
AIDA Grant	AI & analytics	Up to S$500,000

 

Infocomm Media Development Authority (IMDA) 

IMDA leads Singapore’s digital transformation agenda. It empowers businesses to adopt emerging technologies and build internal digital capabilities through strategic funding programmes. 

Key Programmes: 

Grant	Purpose	Funding
Digital Leaders Programme (DLP)	Supports companies in building internal digital teams and implementing impactful digital transformation projects	Up to S$200,000 over 2 years for hiring up to 4 dedicated digital roles

 

 

Maritime and Port Authority of Singapore (MPA) 

MPA promotes innovation in the maritime sector, supporting companies in developing advanced technologies and intellectual property that enhance Singapore’s position as a global maritime hub. 

Key Programme: 

Grant	Purpose	Funding
MINT – Research & Product Development (MINT-RPD)	Supports maritime companies in developing technologies and IP through R&D, test-bedding, and commercialisation	Co-funding of up to 50% of qualifying project costs

 

Building and Construction Authority (BCA) 

The Building and Construction Authority (BCA) drives transformation in Singapore’s built environment sector. It supports firms in adopting advanced technologies, improving enterprise capabilities, and upskilling manpower to meet evolving industry standards. 

Key Programme: 

Grant	Purpose	Funding
Built Environment Technology and Capability (BETC) Grant	Supports holistic transformation in construction through tech adoption, enterprise development, and manpower upskilling	Up to 70% (SMEs), up to 50% (non-SMEs)

 

Inland Revenue Authority of Singapore (IRAS) 

IRAS offers tax-based innovation support via the Enterprise Innovation Scheme (EIS). 

• The Enterprise Innovation Scheme (EIS) offers enhanced tax deductions of up to 400% or a cash payout of up to S$20,000 per year for qualifying innovation activities. It’s designed to support companies investing in innovation, especially those in early growth stages or not yet profitable. 

 

How FI Group Supports Your Innovation Funding Journey 

At FI Group Singapore, we go beyond identifying funding opportunities—we guide you through every stage of the grant journey. From analysing your innovation roadmap to matching the right grants, managing applications, and ensuring post-approval compliance, our structured process is designed to maximise your success. 

Whether you’re applying for EnterpriseSG grants or claiming EIS tax benefits, our expert team ensures your innovation efforts are fully supported. 

Frequently Asked Questions 

What types of businesses can apply for Singapore innovation grants? 

SMEs, startups, and large enterprises across sectors can apply, depending on the grant’s scope and eligibility criteria. 

Can I combine grants with tax incentives like the Enterprise Innovation Scheme? 

Yes. Many companies use grants for upfront funding and EIS for tax optimisation or to receive a cash payout of up to S$100,000 annually. 

How do I know which grant suits my project? 

FI Group offers tailored advisory services to help match your innovation goals with the most suitable funding scheme, whether it’s a grant or a tax incentive. 

Singapore has once again proven its global innovation prowess, ranking 5th in the 2025 Global Innovation Index (GII) published by the World Intellectual Property Organization (WIPO). This achievement is a signal to businesses, researchers, and policymakers that Singapore is fertile ground for innovation-led growth, supported by strong public funding, world-class infrastructure, and a future-ready workforce. 

 

Key Highlights from the GII 2025 

Category	Singapore’s Rank	Notable Strengths
Overall GII Rank	5th	Top 5 globally for 3rd year
Innovation Inputs	1st	15th consecutive year
Innovation Outputs	9th	Highest in over a decade
Top-Ranked Indicators	10 (1st place)	Government effectiveness, FDI inflows, unicorn valuations, high-tech manufacturing

Why Singapore Continues to Lead in Innovation Inputs 

Singapore’s top global ranking in innovation inputs, which include institutions, human capital, infrastructure, and business sophistication, reflects its long-term commitment to building a resilient and future-ready economy. 

• Institutions: Ranked 1st globally, thanks to policy stability, regulatory quality, and government effectiveness. 

• Human Capital & Research: Ranked 2nd, driven by world-class universities and public-private R&D collaboration. 

• Business Sophistication: Ranked 3rd, with strong knowledge absorption and innovation linkages. 

A Leap in Innovation Outputs: From Ideas to Impact 

While Singapore has traditionally excelled in inputs, 2025 marks a turning point in outputs, jumping two spots to 9th globally. This reflects the country’s growing ability to translate innovation investments into tangible economic value. 

Key drivers of this output surge include: 

• High-tech manufacturing and export capabilities 

• Cultural and creative services exports 

• Unicorn valuations and startup ecosystem maturity 

• Intangible asset intensity and brand value creation 

Unlocking Innovation Through Public Funding in Singapore 

Singapore’s rise in the Global Innovation Index is powered not only by private sector dynamism but also by strategic public funding. From R&D tax incentives to sector-specific grants, the government plays a pivotal role in enabling innovation across industries. 

At FI Group Singapore, we help businesses navigate and access these funding opportunities to accelerate their innovation journey. Whether you’re a startup, SME, or multinational, our team can guide you through: 

• R&D Tax deductions under the Enterprise Innovation Scheme (EIS) 

• Innovation Grants 

Download our free guide:

“Singapore R&D Handbook”
Discover key grants, incentives, and strategic tips for international companies to unlock innovation funding in Singapore.
👉 Download the guide now

Looking Ahead: Innovation as a National Imperative 

Singapore’s performance in the GII 2025 is a testament to its whole-of-nation approach to innovation. As the country advances its IP Strategy 2030, business that 

 align with national priorities, such as sustainability, digitalization, and advanced manufacturing, will be best positioned to lead. 

At FI Group Singapore, we’re here to help you navigate this evolving landscape and turn innovation into impact. 

 

📞 Ready to innovate with confidence? 

Contact FI Group Singapore today to explore how we can support your innovation journey. 

Introduction to the Enterprise Innovation Scheme (EIS)

The Enterprise Innovation Scheme (EIS) is a key initiative introduced in Singapore’s Budget 2023 to boost innovation and encourage companies to invest in Research and Development (R&D). Running from Year of Assessment (YA) 2024 to YA 2028, it offers businesses the choice between enhanced tax deductions or a direct cash payout for qualifying expenditures.

For many startups and SMEs, the EIS Cash Payout for R&D in Singapore provides immediate cash flow relief, with businesses able to claim up to S$20,000 annually. This makes it easier to sustain innovation while awaiting profitability.

However, the scheme comes with strict definitions, conditions, and compliance requirements. Many companies therefore rely on experts like FI Group Singapore, specialists in R&D tax incentives, to maximize benefits while staying compliant.

Scope of Activities Covered Under the EIS

The EIS goes beyond R&D, supporting five key innovation categories:

• Qualifying R&D activities performed in Singapore.
• Registration of Intellectual Property (IP) such as patents and trademarks.
• Acquisition and licensing of IP rights.
• Employee training under government-approved courses.
• Innovation projects with polytechnics, ITE, or approved innovation partners.

📌 FI Group’s Role: FI Group helps businesses identify which expenditures across these categories qualify, ensuring companies can confidently claim benefits.

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Understanding Qualifying R&D Under Section 14D ITA

Definition and Criteria for Qualifying R&D Projects

Not every project labeled as R&D qualifies. Under Section 14D of the Income Tax Act (ITA), projects must meet three conditions:

1. Objective – Develop new knowledge, products, or processes.
2. Novelty or Technical Risk – Involves uncertainty that isn’t easily solved by existing knowledge.
3. Systematic, Investigative, and Experimental (SIE) Study – Requires structured testing and experimentation.

Excluded Activities That Do Not Qualify

Excluded activities include:

• Market surveys and consumer testing.
• Routine quality control.
• Cosmetic modifications.
• Social sciences or humanities research.

Types of Eligible R&D Expenditures

Businesses can claim deductions on:

• Staff costs directly engaged in R&D (excluding directors’ fees).
• Consumables used in testing or prototyping.
• Outsourced R&D costs, where 60% of contract value typically qualifies.

📌 FI Group Advantage: Many firms overlook eligible costs. FI Group ensures full cost recovery by reviewing technical and financial records to uncover all claimable expenses.

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EIS Tax Benefits: Deductions vs. Cash Payout

• 400% Enhanced Tax Deductions: Businesses enjoy 400% tax deductions on the first S$400,000 of R&D costs per YA, lowering taxable income significantly.
• EIS Cash Payout Option: Companies can convert up to S$100,000 in R&D expenses into a 20% non-taxable cash payout, capped at S$20,000 per YA.

When to Choose Each Option

• Tax deductions → better for profitable companies.
• Cash payout → better for loss-making businesses or startups needing cash flow.

📌 FI Group Insight: FI Group runs financial modeling to advise whether deductions or payouts maximize a company’s overall savings.

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Eligibility Criteria for EIS Cash Payout

To qualify for the EIS cash payout, businesses must:

• Be actively trading in Singapore.
• Employ at least 3 full-time local staff earning at least S$1,400/month.
• Incur at least S$400 in qualifying expenditure.

Companies in liquidation or receivership are not eligible.

📌 FI Group Expertise: FI Group ensures businesses meet IRAS’s eligibility conditions to avoid rejection.

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Application Process for the EIS Cash Payout

1. Tax Filing: Submit Form C/C-S with R&D claims.
2. IRAS myTax Portal: Apply for the cash payout after tax filing.
3. Attach Documentation: Upload R&D claim forms and project details.
4. Processing: IRAS disburses approved payouts within ~3 months.

📌 Why Work with FI Group? FI Group’s consultants prepare technical reports and claim files that stand up to IRAS audits, reducing the risk of disputes.

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Compliance and Record-Keeping Requirements

Businesses must:

• Keep records for 7 years, including payrolls, invoices, and test data.
• Demonstrate how projects meet R&D criteria.
• Avoid double claiming (cannot claim deduction and payout on same expenditure).

📌 FI Group’s Compliance Advantage: FI Group builds a documentation framework for clients, ensuring audit-readiness and full compliance.

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Updates and Changes Since Budget 2023

• EIS launched in YA 2024 with 400% deductions.
• Cash payout option reinstated at 20% conversion rate.
• R&D concession (non-trade related R&D) extended to YA 2028.
• New Innovation Project category added for polytechnic and ITE collaborations.

📌 FI Group Advisory Role: FI Group keeps businesses updated on IRAS policy changes, ensuring continuous eligibility.

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How FI Group Can Help You Maximize EIS Benefits

The EIS is highly beneficial but complex. Missteps can result in rejected claims or lost savings. FI Group Singapore helps businesses:

• Identify qualifying R&D projects under Section 14D ITA.
• Prepare audit-ready documentation.
• Optimize between cash payouts and deductions.
• Combine EIS with other government grants for maximum benefit.

With over 18,000 clients worldwide, FI Group is a trusted partner in maximizing innovation funding.

👉 Learn more: FI Group R&D Tax Incentives

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FAQs on Enterprise Innovation Scheme (EIS) Cash Payout

Question	Answer
Who can apply for the EIS Cash Payout?	Any business with active operations in Singapore, at least 3 local employees, and qualifying expenditures.
What is the maximum cash payout per year?	S$20,000 per YA, based on converting S$100,000 in qualifying expenses.
Can a company claim both deductions and cash payout?	No. Businesses must choose one option per expenditure.
How long does it take to receive the payout?	Typically 3 months after filing via IRAS myTax Portal.
What documentation is required for R&D claims?	Invoices, payroll records, experiment logs, and the IRAS R&D Claim Form.
Does outsourced R&D qualify under the EIS?	Yes, usually 60% of outsourcing costs qualify unless higher direct R&D costs are proven.

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Conclusion

The Enterprise Innovation Scheme (EIS) Cash Payout for R&D in Singapore is a powerful funding tool for innovation-driven businesses. By providing 400% tax deductions and a cash payout option, it supports both established companies and early-stage startups.

Yet, the rules are complex, and compliance is critical. Partnering with FI Group Singapore ensures that businesses not only remain compliant but also maximize every dollar of funding available.

👉 Take the next step with FI Group’s R&D Tax Incentive Services and unlock the full potential of the EIS.

The Singapore R&D Assurance Framework is a tax compliance initiative launched by the Inland Revenue Authority of Singapore (IRAS) in June 2022. It was designed to provide businesses with upfront certainty on the tax deductibility of their R&D expenditures.

Unlike traditional filing, where claims are validated only after submission, the framework front-loads the process by evaluating projects before tax returns are filed. This helps reduce the risk of disputes, strengthens corporate tax compliance, and allows companies to plan their innovation investments with confidence.

The framework replaces the limited Pre-Claim Scheme (PCS)—which applied only to projects above S$15 million—with a broader and more practical system. It now covers multiple projects and offers three consecutive Years of Assessment (YAs) of upfront assurance.

Why the R&D Assurance Framework Matters

• Streamlining R&D Tax Incentives

The framework makes Singapore’s R&D tax incentives more predictable. Instead of waiting for IRAS audits, companies know upfront if their projects qualify.

• Reducing Compliance Risks

By aligning company governance with IRAS’s standards early on, firms reduce the risk of rejected IRAS R&D claims or costly disputes after filing.

Key Features of the Framework

• Upfront Evaluation – IRAS reviews a sample of at least 5 or 20% of projects for technical compliance.
• Multi-Year Certainty – Approved companies enjoy 3 years of tax assurance.
• Defined Timeline – Applications must be submitted 9 months before filing deadlines.
• Ongoing Monitoring – IRAS conducts sample checks in subsequent years to ensure compliance.

Who Can Apply?

To qualify under the Singapore R&D Assurance Framework, companies must:

• Have at least 5 in-house R&D projects conducted in Singapore.
• Spend at least S$500,000 in qualifying R&D expenditure.
• Demonstrate robust documentation and internal governance.

Qualifying R&D expenditures include salaries of researchers, consumables, and certain outsourced R&D costs aligned with Singapore’s corporate tax compliance rules.

The Application Process

1. Self-Assessment – Check eligibility and ensure projects meet IRAS’s R&D definition.
2. Application Submission – File at least 9 months before tax deadlines.
3. IRAS Project Sampling – IRAS selects 5 or 20% of projects for evaluation.
4. Detailed Submission & Clarifications – Provide technical documentation and attend meetings.
5. IRAS Decision – Receive approval (3 years of assurance) or feedback for reapplication.
6. Ongoing Compliance – Sustain governance and respond to annual sample checks.

Challenges Companies Face

• Documentation Burden – Extensive reports, test logs, and expense tracking are required.
• Eligibility Barriers – Smaller firms may not meet the 5 projects / S$500k threshold.
• Defining R&D Activities – Some projects fall into grey areas under tax law.
• Sustained Compliance – Maintaining standards for 3 years requires effort.

How FI Group Singapore Can Help

The framework is powerful, but navigating it can be resource-intensive and technically complex.

At FI Group Singapore, we support businesses at every step of the process:

• Assessing eligibility under Singapore’s R&D tax incentives.
• Preparing robust applications for IRAS R&D claims.
• Guiding companies through IRAS meetings and clarifications.
• Building internal systems for long-term compliance.
• Maximizing allowable R&D tax deductions.

👉 Discover how we can streamline your journey: R&D Tax Incentives – FI Group Singapore.

Benefits of the R&D Assurance Framework

• Upfront Tax Certainty – Less risk of disallowed claims.
• Encourages Innovation Funding – Companies can plan R&D projects with confidence.
• Global Competitiveness – Strengthens Singapore’s role as an innovation hub.

Conclusion

The Singapore R&D Assurance Framework represents a forward-thinking approach to corporate tax compliance in innovation. It aligns the interests of both businesses and the tax authority by encouraging strong governance, truthful IRAS R&D claims, and rewarding participants with multi-year certainty.

While challenges like heavy documentation and sustained compliance exist, these are manageable with expert support. External advisors such as FI Group Singapore can bridge gaps, ensuring businesses maximize their R&D tax incentives while staying compliant.

As the framework evolves, one principle remains constant: trust through verification. Companies that prepare well and adopt best practices can turn this compliance initiative into a strategic advantage, securing their R&D benefits while contributing to Singapore’s innovation-driven economy.

 

FREQUENTLY ASKED QUESTIONS

Question	Answer
What is the Singapore R&D Assurance Framework?	It’s an initiative by IRAS that provides upfront tax certainty for qualifying R&D tax deductions.
Who can apply?	Companies with 5+ projects and S$500,000 qualifying spend.
How long does it take?	The review typically takes 9 months.
Does approval cover all claims?	Not entirely, IRAS still performs annual sample checks.
What happens if rejected?	Companies get feedback and may reapply after improving documentation.
Can SMEs apply?	Yes, though many may struggle with thresholds under current rules.

 

Looking to scale your fintech innovation in Singapore? The Monetary Authority of Singapore (MAS) has offers the Financial Sector Technology and Innovation Scheme (FSTI 3.0) to co-fund cutting-edge projects in AI, ESG, quantum tech, and more. Here’s what fintechs and financial institutions need to know to tap into this opportunity. 

 

What Is FSTI 3.0? 

The Financial Sector Technology and Innovation Scheme (FSTI 3.0) is a strategic initiative by MAS to accelerate the adoption of advanced technologies in Singapore’s financial sector. With a budget of S$150 million, FSTI 3.0 supports innovation across five key tracks, helping fintechs align with regulatory standards while driving measurable outcomes. 

 

Key Grant Tracks Under FSTI 3.0

Innovation Acceleration Track

• Focus: Web 3.0, digital assets, and emerging technologies 
• Support: Open calls for real-world use cases 
• Goal: Encourage industry collaboration and commercialization of fintech solutions

 

Artificial Intelligence and Data Analytics (AIDA) Track

• Focus: AI adoption for fraud detection, risk management, and operational efficiency 
• Funding: Up to 50% of qualifying costs 
• Highlights: Establishment of AI innovation centers, Development of high-impact AI models , Secure, privacy-preserving data exchange, Workforce upskilling in AI and data science.

 

Quantum Technology Track

• Focus: Quantum computing and cybersecurity innovation 
• Support: Quantum technology centers , Institutional use cases , Pilots using post-quantum cryptography and quantum key distribution. 
• Funding: Up to 50% co-funding for eligible expenses

 

ESG FinTech Track

• Focus: Environmental, Social, and Governance (ESG) data and analytics 
• Funding: Up to 50% of qualifying costs, capped at S$500,000 
• Goal: Promote responsible innovation and transparency in sustainable finance

 

Enhanced Centre of Excellence (CoE) Track

• Focus: Corporate Venture Capital (CVC) support for fintech startups 
• Funding: Up to 50% of project costs, capped at S$2 million 
• Goal: Strengthen the fintech ecosystem through mentorship and sustainable business models

 

Why This Matters for Fintechs in Singapore 

Singapore is positioning itself as a global fintech and innovation hub, and FSTI 3.0 is a powerful tool to: 

• Accelerate product development 

• De-risk innovation through co-funding 

• Align with national priorities in AI, ESG, and quantum tech 

• Build credibility with regulators and investors 

 

Need Help Navigating FSTI 3.0? 

At FI Group Singapore, we specialize in helping fintech companies: 

• Identify the right grant track 

• Prepare compelling applications 

• Maximize funding and tax incentives 

📩 Contact us today for tailored support and expert guidance. 

Innovation is the engine of growth, and in Singapore, it’s backed by a powerful ecosystem of government grants designed to help companies develop new technologies, commercialise R&D, and expand globally. Whether you’re a startup building a prototype or an SME scaling a deep tech solution, there’s funding available to support your journey. 

Here’s a breakdown of the most impactful innovation and R&D grants available in Singapore, and how FI Group can help you secure them. 

 

1. ENTERPRISE DEVELOPMENT GRANT (EDG)  

Best for: SMEs upgrading capabilities, innovating processes, or expanding overseas. 

The EDG supports projects under three strategic pillars: 

• Core Capabilities (e.g. strategy, branding, HR) 

• Innovation & Productivity (e.g. automation, product development) 

• Market Access (e.g. internationalisation) 

Funding: Up to 50% of eligible costs (up to 70% for sustainability-related projects)
Duration: Typically up to 2 years
Key Benefit: Versatile and applicable across industries 

Learn more about EDG 

 

2. STARTUP SG TECH  

Best for: Early-stage tech startups developing proprietary innovations. 

This grant supports: 

• Proof-of-Concept (POC): To test technical viability 

• Proof-of-Value (POV): To validate commercial potential 

Funding: Up to SGD 400,000 (POC) or SGD 800,000 (POV)
Equity Component: EnterpriseSG may subscribe to shares worth up to 50% of the grant
Duration: Up to 24 months
Key Benefit: High support for deep tech with commercial potential 

Explore Startup SG Tech 

 

3. RESEARCH AND INNOVATION SCHEME FOR COMPANIES (RIS(C))  

Best for: Companies investing in advanced R&D and building in-house innovation capabilities. 

RIS(C) supports: 

• Development of new technologies 

• Establishment of R&D centres 

• Capability building in science and engineering 

Funding: Up to 30% of qualifying costs (up to 60% for local manpower)
Duration: Up to 3 years
Key Benefit: Ideal for companies scaling long-term R&D infrastructure 

Learn more about RIS(C) 

 

4. SECTOR-SPECIFIC INNOVATION GRANTS

Best for: Companies in regulated or high-impact industries such as fintech, maritime, food, construction, and sustainability. 

Singapore offers a diverse portfolio of grants tailored to specific sectors and national priorities. 

Want to explore all available grants by sector, company size, or innovation type? 

Browse All Grants 

 

WHY WORK WITH FI GROUP?  

Applying for innovation grants is competitive. FI Group Singapore provides end-to-end support to ensure your funding journey is smooth, compliant, and successful. 

Our grant services include:  

• Roadmap Analysis: We break down your R&D roadmap into distinct projects and work packages to maximise eligibility and grant coverage. 

• Grant Mapping & Matching: We identify and rank the most relevant current and upcoming grant opportunities aligned with your innovation pipeline. 

• Grant Application & Management: From crafting strong, compliant applications to managing submissions and timelines, we guide you every step of the way. 

• Post-Management Support: We support you beyond approval, ensuring compliance, reporting, and successful project delivery. 

With over 20 years of experience and a global presence, FI Group is your strategic partner in innovation funding. 

Talk to us today for a free consultation.