RF Fund Management, a subsidiary of RF International Holdings, has been awarded the tax exemption scheme for resident funds under Section 13R of the Income Tax Act.

Section 13R is related to the exemption of income of a company or companies incorporated as well as resident in Singapore arising from funds managed by said fund manager in Singapore.

This follows the company’s being incorporated as a variable capital company (VCC) on May 26.

In a statement on August 17, the company says the award paves its way to pursue its inaugural US$50 million ($68.5 million) private equity fund.

The fund management tax incentive offers the company the efficiencies to optimise its income tax exposure in Singapore by achieving tax neutrality and tax certainty, including Singapore’s tax treatment for variable capital companies (VCCs).