What is the Enterprise Innovation Scheme (EIS)?

What is EIS? The Enterprise Innovation Scheme (EIS) is a Singapore tax incentive scheme administered by the Inland Revenue Authority of Singapore (IRAS) to encourage businesses to invest in innovation and intellectual property (IP).

Enhanced Incentive: Save more when protecting your innovations and building your IP assets. Eligible businesses can claim enhanced tax deductions on qualifying IP registration costs incurred from Year of Assessment (YA) 2024 to YA 2028.

How Your Business Benefits

Up to 400% Tax Deduction: Claim up to 400% tax deduction on the first SGD 400,000 of qualifying IP registration expenditure incurred per Year of Assessment.

Standard 100% Tax Deduction: Qualifying expenditure exceeding the annual cap of SGD 400,000 continues to enjoy the standard 100% tax deduction.

Eligibility Requirements

Active Local Operations: The business must conduct active business operations in Singapore.

IP Ownership: The Singapore entity must hold both the legal and economic ownership of the intellectual property.

Minimum Ownership Period: Ownership of the registered IP (or pending application) should generally be retained for at least one year.

Covered IP Types & Qualifying Costs

Covered IP Types: The EIS covers official and professional fees for registering Patents, Trade Marks, Registered Designs, and Plant Varieties.

Qualifying IP Costs Covered:

• Official Filing Fees, Search Fees, Examination Fees, and Registration & Grant Fees.
• Professional Fees: IP Agent Fees, Specification Drafting, Application Preparation, Prior Art Searches, and Translation Costs.

Regardless of Application Outcome: Qualifying registration expenses may remain eligible for enhanced tax deductions even if the IP application is ultimately unsuccessful, subject to applicable IRAS requirements.

End-to-End Enforcement & Evidence Preservation Service

1. DETECT: Identify infringing websites, unauthorized online sellers, social media accounts, and illicit counterfeit product listings across global digital platforms.
2. REMOVE: Take swift and decisive takedown actions to remove infringing content from websites, e-commerce marketplaces, online trading platforms, and social media channels.
3. PURCHASE (China / Philippines): Conduct controlled, legally sound test purchases of suspected counterfeit products to capture direct proof of transaction and physical evidence.
4. PRESERVE: Securely preserve purchased physical counterfeit items and digital metadata/records to strictly maintain evidence integrity and an unbroken chain of custody.
5. ENFORCE (China / Philippines): Prepare notarized records and comprehensive evidence packages suitable for civil litigation, administrative customs actions, and official legal enforcement proceedings.

Key Benefits & Advantages

Core Promise: STRONGER EVIDENCE. STRONGER CASE. STRONGER BRAND.

• Court-admissible evidence:
• Supports full-scale litigation, administrative enforcement, customs border protection, and UDRP domain name dispute proceedings.
• Preserves both physical product sample and digital electronic evidence.
• Maintains an unbroken and fully documented legal chain of custody.

Global Reach & Local Expertise: Combining seamless international protection capabilities with localized legal enforcement expertise across key Asian markets.

Who Can Apply?

Only qualified entities that meet strict regulatory requirements can apply for a certification mark:

• Do not trade in or supply the goods or services they are certifying.
• Possess adequate expertise and resources to certify products consistently.
• Have established reputation or standing in the relevant industry.

Example Candidate: Scotch Whisky Association (SWA) — An industry association representing Scotch whisky producers worldwide.

Non-candidates (Ineligible Entities): Entities that trade in or profit directly from the certified goods cannot apply, including individual producers/distilleries, brand owners certifying only their own products, distributors, importers, retailers, or companies with a direct commercial interest.

Core Principle: Certification marks must remain strictly independent and free from any conflicts of interest.

How to Register a Certification Mark in Hong Kong SAR

1. Prepare Regulations for Use: Define detailed standards, conditions, and rules for using the mark. These regulations must be filed with the Trade Mark Registry within 9 months of application.
2. Submit a Declaration of Competency: Provide verifiable evidence that the applicant can reliably certify the goods/services, showing technical expertise, resources, and oversight mechanisms.
3. Application Review: The Registry examines both the regulations and competency declaration. This process may take 20+ months due to legal examination requirements.
4. Supervision and Control: The applicant must actively monitor the mark's use to ensure all certified products strictly comply with rules (e.g., SWA ensures only whisky distilled in Scotland under strict laws bears the 'SCOTCH WHISKY' mark).

Benefits of a Certification Mark

• For Consumers: Gives immediate confidence in product authenticity, geographic origin, and quality.
• For Brand Owners & Associations: Provides robust legal grounds to take direct enforcement action against unauthorized or counterfeit use.

Case Example: Before registration, SWA had to rely on 'passing off' common law actions, which were costly, complex, and slow. After registration, SWA can enforce rights directly using the registered certification mark.

Official Registration Costs

Note: This article is for informational purposes only and does not constitute legal advice.