Temporary assignment ... where to locate?

[DIANE3698]

My husband is being asked to manage the India-Austrailia-China-Korea-Japan territory for his company for 3-6 months. Where should we locate? First thought was Singapore because it is relatively central and has good airport access to rest of the territory. It is likely he will be traveling almost every week to the different regions of the territory. Downside is housing is expensive. Any thoughts or suggestions? Is a work visa needed for such an assignment? How long does it take to get that? Can we come on a tourist visa and do the work? Can we sub-let an apartment for that length of time with just a tourist visa? Are there fully furnished and serviced apartments that are nice and yet close to airport and allows easy access to shopping/sightseeing/beach for me while he is on business trips?

Thanks in advance for your ideas and suggestions... Diane

[Skink]

Originally Posted by DIANE3698

My husband is being asked to manage the India-Austrailia-China-Korea-Japan territory for his company for 3-6 months. Where should we locate? First thought was Singapore because it is relatively central and has good airport access to rest of the territory. It is likely he will be traveling almost every week to the different regions of the territory. Downside is housing is expensive. Any thoughts or suggestions? Is a work visa needed for such an assignment? How long does it take to get that? Can we come on a tourist visa and do the work? Can we sub-let an apartment for that length of time with just a tourist visa? Are there fully furnished and serviced apartments that are nice and yet close to airport and allows easy access to shopping/sightseeing/beach for me while he is on business trips?

Thanks in advance for your ideas and suggestions... Diane

Singapore sounds like the perfect location but you'll definitely need a work permit (employment pass) and a dependants pass for you. Can his company arrange that? I lived there for several years and it's a great place. Changi airport is the best in the world IMO. If you can swing it, rents are coming down in price. Don't be daunted by living in a condo. Facilities are excellent, most have swimming pools, gyms etc. Beaches are not that great in Singapore but Malaysia and Thailand is only a short flight away.

I have some friends who used Malaysia as their "base" while he was overseeing his company's operations in China. This was done unofficially and they both did visa runs but I think (and maybe someone from Malaysia can confirm) you get 3 months visa on arrival, so only need to visa run 4 times a year. I'm a bit out of touch on this, but maybe someone from Malaysia will verify.

Best of luck!

[DIANE3698]

Does he need a work permit even if it is a US company and his checks will go directly into his US bank account? It is really just a long business trip. His company will certainly get the visas if required, but if we can avoid it - since it is a short term assignment, it would be alot easier.

Thanks again for the information..
Diane

[ecureilx]

In Singapore, arrival visas get negated upon departure, and renting an apartment while on social visa is equivalent to committing suicide - all the agents will try to fleece you till you regret even thinking of such a thing.

As for Malaysia, same thing goes, and if you are no social/visit pass, then it will make life hard for living there. And Malaysian Immigration can make it a point to demand RM for the extension. And visa runs can turn into money traps, especially if the person has to travel a lot.

My suggestion - check on ICA website, and register a company here, as a Regional operation of a MNC - they have such options, at the ACRA site and the MOM site the details are in clear English. And Secretarial companies will help to incorporate and manage the legal work.

Obtaining a pass under the company would then be a breeze, and upon completion of the work, you can liquidate the company. You will loose some money for the Secretarial fee and the liquidation, but atleast you will have Singapore as a Legal base of operation, plus will make things easier. Added, opening a bank account and remitting the pay here will relieve you of any complication.

Anyway, do look up to the MOM/ICA/ACRA websites for further info on how to work this out. Legally !!

[DIANE3698]

Thanks for the heads up... here is the link I found:
Business in Singapore,Singapore Business,Business opportunity in Singapore

Sounds like this might be quite the process. The company already has offices in Korea, China and Japan. Probably easier for us to locate at one of those locations temporarily than to go through all this work in Singapore.

[ecureilx]

Well, you may not have to go the whole nine yards. Since it is a representative office, there are processes to get such a office set-up, for a lower cost, and obtain a residency / pass.

Less than S$ 1,000 = can be all completed. There are some rules for representative offices, and they will need to see the group turnover and such, and anyway, company secretaries can always advice the best course of action.

If you have no qualms in staying in residential apartments, like HDB, then the cost of living can be lower as well.

As I mentioned in another thread, you can live in Singapore, for a decent life, for less than 3,000 all-in-all, or pay more than 20,000 just for apartment rental alone. Depends on what you want to do ...

Cheers

[ecureilx]

Dont forget that Singapore has Free-trade agreements with a lot countries, and the info presented can always be misleading, and free-trade agreements have lot of short-cut processes.

If I am not mistaken, for a start, US Citizens can seek residency here for upto 6 months or a year, with just an approval from the ICA.

[Gina Wallace]

Hi Diane,
I read your question with interest. If it were me I would be looking at the financial implications of your proposed relocation for each country. This includes how your husband's company intends to remunerate him whilst you are away on assignment. The questions I would be asking include - will he still be paid his net salary as if he had not gone on assignment? - who is paying the tax on any benefits he might receive such as housing, schooling, and so on?

If you are going to be in any of those countries past 183 days (6 months) it is likely that a tax liability in that country will arise, if it hasn't already arisen. I note that the intended duration of the assignment will be up to six months. I would be watching very closely whether the days lapsed will go beyond six months because that complicates the situation dramatically in terms of tax liabilities in both your home country and the country of assignment.

Tax rates vary from country to country and this would be worth your while checking, in the event that your husband's company does not pick up the cost of any taxes that could arise in the country you choose.

Gina Wallace
Expattax.co.nz| Managing Expat Tax

[DIANE3698]

Thanks for the tip. If you go in and out of the country (say for a 5 day business trip) does the 6 month clock restart?

[ecureilx]

From the Financial year - i.e. Jan - Dec for Singapore.

Out of 365 days, you should have spent 180 days (for Singapore) in the country, to be eligible for tax. If you say, spend every weekend in Malaysia - which is just a short drive away, and add in the regular duty travel, and add some days for vacation etc. at the end of the Calender year, IRAS (Inland Revenue Authority of Singapore) will count days in country vs days outside the country.

Same goes for Australia if I am not mistaken.

For example, Between Jan 1st to December 31st. You spend Jan - to March in Singapore, next three overseas, and vice versa .. does not matter.

As for less than 365 days, Singapore has some ruling - if you start residency in Singapore for less than 180 days of the calender, eg: start in July, then they have a fixed taxation, and less than 60 days (eg: start residency in November) then tax-free.

Look up the IRAS site for Singapore. Same goes for Malaysia, and other regional neighbours