The distribution is to be declared in July.
The Ministry of Finance, and IRAS previously announced in April that they will be extending the timeline for S-REITs to distribute at least 90% of their taxable income to qualify for tax transparency.
The new measures were to provide S-REITs with greater flexibility to manage their cash flows and raise funds amid the challenges arising from the Covid-19 pandemic.
S-REITs have been given 12 months instead of the usual three months to do so for FY20 and FY21.
The new measures were to provide S-REITs with greater flexibility to manage their cash flows and raise funds amid the challenges arising from the Covid-19 pandemic.
In a Thursday statement, the manager of Starhill Global REIT says it intends to utilise the Tax Transparency Extension to “prudently manage” cash flow and maintain financial flexibility.
The amount of distributions has not been decided yet. The manager of the REIT will also determine the appropriate time to distribute the balance of taxable income for FY19/20 before Dec 31, 2021, according to the extended deadline under the Tax Transparency Extension.
Units in Starhill Global REIT closed 3 cents lower, or 5.2% down, at 54.5 cents.
