Regulatory Alerts2020-03-09
Added
Classification of Tax Liabilities Arising from Non-Guaranteed Benefits of Participating Policies
The Monetary Authority of Singapore mandates that direct life and composite insurers classify expected tax payments from participating funds as policy liabilities under Form A1 of MAS Notice 129. This requirement ensures that the allowance for provision for non-guaranteed benefits aligns with the aggregate values of expected payments and adverse deviation provisions under the Insurance Valuation and Capital Framework. The directive simultaneously cancels Circular No. ID 02/08 to update previous guidance on this matter.