These days, the Southeast Asian city-state of Singapore is a popular destination for the storage of gold and other precious metals. A number of private vaults can be found there, as well as safe deposit boxes outside the banking system.
Last week, the Singapore bullion dealer BullionStar published a blog post entitled “Gold Demand in the Singapore Bullion Market” in which the advantages of storing precious metals in the “Switzerland of Asia” were highlighted. From BullionStar’s Blog on December 11:
One of the early initiatives that transformed Singapore into a precious metals trading and storage hub came in February 2012, when during a budgetary speech to parliament, finance minister Tharman Shanmugaratnam announced that the importation and supply of investment-grade gold and other precious metals in Singapore would become exempt from Singapore’s Goods and Services Tax (GST)…
Apart from the GST exemption on investment precious metals, there are a number of other jurisdictional advantages that have supported the growth of Singapore as a gold trading and storage hub, and that reinforce the logic for buying gold and storing gold in Singapore.
In Singapore, there are no other taxes when buying gold, silver or other precious metals. This means no capital gains tax, no other sales tax, no death tax, in short no taxes. There are no reporting requirements when buying or selling gold or silver or other precious metals in Singapore. This means no reporting requirements to any Singaporean authority and no reporting requirements to any international authority.
There is no GST when importing gold and other precious metals into Singapore, or exporting gold or other precious metals out of the country. Singapore is also famed for its strong rule of law, making the country one of the safest and most secure countries on earth to buy and store gold. If taking delivery or selling precious metals, it is quite safe, apart from the usual precautions, to walk in and out of bullion dealer shops in Singapore carrying your precious metals.
Furthermore, the Singapore legal system is very protective of private property rights, and the nation of Singapore has strong military capabilities, both of which are reassuring when storing gold or silver in the city-state. Finally, because it’s a thriving gold trading hub, with a buoyant wholesale and retail bullion market, Singapore has a very well-developed gold storage and vaulting infrastructure, and is very well serviced by secure transport companies…
(Editor’s note: Bold added for emphasis)
An informative blog post about Singapore’s growth as a precious metals trading and storage hub, which can be read here on BullionStar’s website.
By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)
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