In December 2023, the Monetary Authority of Singapore (“MAS“) extended the scope of due diligence checks to a wider group of individuals and entities associated with family offices who are applying for tax incentives. Depending on the screening results, applicants may be required to provide further documents to support their application.
On 5 August 2024, MAS published a list of specialist firms that may conduct these screening checks on family offices (“Screening Service Providers“) for money laundering and terrorism financing risks. It also stipulated that all new tax incentive applications for fund vehicles managed by family offices must be accompanied by a screening report issued by a Screening Service Provider, beginning from 1 October 2024.
This new requirement is part of a series of moves by MAS to heighten regulatory scrutiny of family offices, with a focus on money laundering risks. In this Update, we look at the new requirement and comment on the broader context of its implementation.
For more information, click here to read the full Legal Update.
