Singapore is not your ordinary low-tax center. One would say Singapore is not a low-tax center at all. A corporate tax at the rate of 17% (as of 2019) is imposed upon profits that are earned in, derived from or are received in Singapore by Singapore resident companies (which means incorporated, managed and controlled from Singapore). On the other hand, all foreign earned profits, or earnings that derive from sources outside Singapore, are free from corporation tax.

Just to reiterate on the last point: A private Singaporean company that holds and manages income producing assets outside Singapore can earn profits tax-free, without incurring any liability in Singapore to pay corporation tax.

There are three types of corporate entities available in Singapore:

Public Company

If owners wish to raise money from the public, they can choose to incorporate a public Singaporean company and list its shares on the Singapore Exchange Limited (SGX). 

Private Company

A private company is incorporated under the Singapore Companies Act Cap 50 (“the Act”). The number of shareholders is limited to 50 or less.
