Singapore Taxation

Open Overview

Singapore, an island country in Southeast Asia, is located, between Malaysia and Indonesia. Its official languages are English, Malay, Chinese, and Tamil, and the currency is the Singapore dollar (SGD).

Singapore is one of the world's most prosperous countries, with strong international trading links (its port is one of the world's busiest in terms of tonnage handled) and with a per capita gross domestic product (GDP) comparable to or exceeding that of many nations in Western Europe.

Singapore has a highly developed and successful free-market economy. The economy depends heavily on exports, particularly in information technology products and pharmaceuticals, as well as a vibrant financial services sector.

Open Significant developments

Corporate Tax Changes:

• Corporate income tax (CIT) rebate of 50% and a CIT rebate cash grant of 2,000 Singapore dollars (SGD) for eligible companies, subject to a combined (tax rebate and cash grant) cap of SGD 40,000 for income year 2023 (year of assessment 2024).

• Implementation of the Income Inclusion Rule (IIR) and Domestic Top-up Tax (DTT) for in-scope businesses for financial years starting on or after 1 January 2025, but the undertaxed profits rule (UTPR) will only be considered at a later stage.

• Introduction of a new Refundable Investment Credit (RIC).

• Introduction of additional concessionary tax rate tiers of 15% for the Global Trader Programme, Development and Expansion Incentive, and Intellectual Property Development Incentive, and 10% for the Finance and Treasury Centre Incentive and the Aircraft Leasing Scheme.

• Introduction of an alternative net tonnage basis of tax for shipping enterprises under the Maritime Sector Incentive.

• Extension and enhancement to the tax i

Open Taxes on corporate income

Companies (resident and non-resident) that carry on a business in Singapore are taxed on their Singapore-sourced income when it arises and on foreign-sourced income when it is received in Singapore.

Non-residents are subject to withholding tax (WHT) on certain types of income (e.g. interest, royalties, technical service fees, rental of movable property) where these are deemed to arise in Singapore.

Tax on corporate income is imposed at a flat rate of 17%.

A partial tax exemption and a three-year start-up tax exemption for qualifying start-up companies is available.

Partial tax exemption (income taxable at normal rate):

• First 10,000 SGD - Exempt from Tax 75% i.e 7,500 SGD
• Next 190,000 SGD - Exempt from Tax 50% i.e 95,000 SGD
• Total Exempted Income 102,500 SGD

Start-up tax exemption (income taxable at normal rate):

• First 100,000 SGD - Exempt from Tax 75% i.e 75,000 SGD
• Next 100,000 SGD - Exempt from Tax 50% i.e 50,000 SGD
• Total Exempted Income 125,000 SGD

The start-up exe

Open Corporate residence

In Singapore, the tax residence of a corporation is determined by the place where the central management and control of its business is exercised. This is taken generally to mean the place where the directors meet to exercise de facto control.

The Inland Revenue Authority of Singapore (IRAS) has also set out its practice on how it administers the residency rule, including for foreign-owned investment holding companies and where the board of directors meetings involve the use of virtual meeting technology.

Permanent establishment (PE)

The presence of a PE is largely irrelevant, except for treaty purposes, as Singapore taxes are with reference to the source of income rather than the presence of a PE.

However, a PE is a clear indication of source.

The definition of a PE in Singapore’s double taxation agreements (DTAs) is largely based on the Organisation for Economic Cooperation and Development (OECD) Model Tax Convention definition.

It is generally taken to be a fixed place through which

Open Goods and services tax (GST)

Supplies made in Singapore and importation of goods:

GST, or Goods and Services Tax, is a 9% tax applied in Singapore. It’s charged on:Goods and services sold by a taxable business in Singapore.

Goods imported into Singapore. In short, it’s a 9% tax on most business transactions and imports in Singapore.

The only exemptions from GST are prescribed financial services, the sale or rental of residential properties, the sale of digital payment tokens, and the import and local supply of prescribed investment precious metals.

Zero-rating only applies to the export of goods and international services (subject to certain conditions).

Import reliefs (e.g. Major Exporter Scheme, Approved Contract Manufacturer and Trader Scheme) are available to ease the cash-flow burden of GST-registered businesses.

GST registration is required if a business makes taxable supplies in excess of SGD 1 million for a 12-month period. Voluntary registration is permitted if the taxable supplies are below the registrati

Open Customs and excise duties

Singapore is essentially a free port with minimal import restrictions.

Customs and excise duties are imposed on certain intoxicating liquors, tobacco products, motor vehicles, and petroleum products.

Open Property Tax

Property tax is levied annually on the annual value of houses, land, buildings, or tenements.

For residential properties, owner-occupier tax rates range from 0% to 32% and non-owner occupier tax rates range from 12% to 36%. The tax rates depend on the annual value bands, which are subject to periodic revisions. 

A one-off property tax rebate at tiered rates of 15% (capped at SGD 1,000 for private properties) to 100%, depending on the type of property, is provided for owner-occupied residential properties in 2024.

For non-residential properties, such as commercial and industrial buildings and land, the tax rate is 10%.

Open Stamp Duties

Stamp duties are levied on written documents (as well as electronic instruments executed on or after 4 October 2018) relating to immovable properties, leases, and stocks and shares.

Immovable Properties:

Stamp duties are typically payable by the buyer (i.e. buyer’s stamp duty or BSD); however, seller's stamp duty (SSD) and additional buyer's stamp duty (ABSD) have been introduced as measures to cool the residential property market.

There is BSD of up to 6% for residential property and up to 5% for non-residential property on the purchase price or market value, whichever is the higher. There is an ABSD of up to 65% and an SSD of up to 15% on the price or market value of the property, whichever is the higher, depending on the type of property (residential or industrial), the residency status of the buyer, the holding period of the property, and the number of properties owned.

Foreigners of certain nationalities who fall within the scope of the respective free trade agreements will be accorded th

Open Foreign Worker Levy (FWL)

The FWL is a monthly levy that employers are liable to pay for each foreign employee (Work Permit or S Pass holders) hired.

The levy rate depends on the employer’s industry and the ratio of foreigners to Singaporeans and permanent residents employed in the company.

Open Payroll Taxes

Singapore doesn’t deduct taxes directly from employees’ pay checks, i.e. Singapore does not have payroll withholding taxes.

When a non-Singaporean employee stops working in Singapore, gets sent overseas, or leaves the country for more than three months, the employer must:

• Tell the Singapore tax authorities about the employee’s departure as soon as they know.

• Hold back any money owed to the employee until the tax authorities give tax clearance—unless the employer is fully covering the employee’s Singapore taxes.

The notification must be made no later than one month prior to the date of cessation/departure, or two months from the date of cessation/departure where the employer is bearing full Singapore taxes for the employee.

Non-Singapore employees are also subject to tax on unexercised/unvested stock options/awards on a deemed gain basis when they cease employment or leave Singapore.

As a concession, tax clearance need not be obtained in certain scenarios.

Open Social Security Contributions

Central Provident Fund (CPF)

The CPF is Singapore's national pension scheme. Contributions are payable by Singapore citizens and Singapore Permanent Residents (i.e. SPR obtained via immigration rules) only.

Employers and employees contribute 17% and 20%, respectively, of ordinary monthly wages, up to an income ceiling of SGD 6,800. Their respective maximum contributions are therefore SGD 1,156 and SGD 1,360 per month. The rates are applicable to Singaporeans and SPRs (from third year and onwards) aged 55 years and below.

Reduced rates apply for employees who are earning less than SGD 750 per month as well as for those above 55 years of age, although these rates are being gradually increased.

The income ceiling will be increased to SGD 7,400 from 1 January 2025 and SGD 8,000 from 1 January 2026. The annual ordinary wage ceiling and maximum monthly contributions for employers and employees will be increased accordingly; however, the annual salary (comprising ordinary wages and additional wages)

Open Carbon Tax

Carbon tax at a rate of SGD 25 per tonne of carbon dioxide equivalent (tCO2e) of emissions is applied on the total greenhouse gas emissions of facilities that produce 25,000 or more tCO2e of emissions per year.

The carbon tax applies uniformly to all sectors, without exemption, and takes the form of a fixed-price credits-based mechanism. The tax rate will be increased to SGD 45 per tCO2e of emissions for 2026 and 2027, and to SGD 50 to SGD 80 per tCO2e of emissions by 2030.

Taxable facilities are allowed to use high quality international carbon credits to offset up to 5% of their taxable emissions.

Open Branch Income

Tax rates on branch profits are the same as on corporate profits. There is no branch profits remittance tax on the repatriation of profits to the head office.

Open Income determination

Inventory Valuation:

There are no special rules as to which valuation basis should be adopted for inventories (stock-in-trade) in the case of a continuing business, as long as the basis is consistent from one year to another.

However, a last in first out (LIFO) basis of valuation is not permitted for tax purposes.

Inventory that is appropriated on or after 16 November 2021 for a purpose other than for sale or disposal in the ordinary course of the trade or business is treated as having been sold at open market value (except for approved donations).

Capital Gains:

There is no tax on capital gains. Where there is a series of transactions or where the holding period of an asset is relatively short, the tax authorities may take the view that a business is being carried on and attempt to assess the gains as trading profits of the corporation.

The United Kingdom (UK) Badges of Trade, which are used in judicial decisions to distinguish capital and revenue transactions, are generally appl

Open Deductions

Depreciation

Tax depreciation is allowable at specified rates on buildings used in qualifying industry sectors, subject to conditions. In 2010, industrial building allowances were replaced by a Land Intensification Allowance. The latter provides for faster depreciation but is subject to approval as it is allowed as a tax incentive. Transitional provisions for industrial building allowances are available for taxpayers that committed to qualifying capital expenditure on or before 22 February 2010.

Tax depreciation is available on machinery and equipment on a straight-line basis over their specified working life for all types of business. In lieu of the straight-line basis, accelerated tax depreciation allowances can be claimed by all businesses on all machinery and equipment in equal instalments over three years. For the year of assessment 2024, depreciation allowance claims may be made over two years, with 75% of the cost written off in the first year of assessment, and the remaining 25% in the follo

Open Group taxation

A company is allowed to transfer excess current year trade losses, current year tax depreciation, and current year approved donations (other than donations for overseas causes) to another company within the same group if certain conditions are satisfied.

Broadly, to qualify for group relief, companies must be incorporated in Singapore, belong to the same group of companies where, among other things, there must be at least a 75% ownership relationship between claimant and transferor, and have the same accounting year-end. In addition, a group must comply with certain prescribed offset and apportionment rules.

Transfer pricing

The Income Tax Act contains specific provisions that provide the tax authorities with a right to make transfer pricing adjustments in cases where taxpayers do not comply with the arm’s-length principle.

The transfer pricing provisions include mandatory contemporaneous documentation requirements, penalties for non-compliance, and a surcharge to be imposed at 5% of the trans

Open Tax Credits & Incentives

There are various tax incentives available to taxpayers involved in specified activities or industries identified as being beneficial to Singapore’s economic development.

Tax incentive applications are typically subject to an approval process during which the administering agency evaluates the applicant’s business plans in detail. Successful applicants are required to satisfy rigorous requirements and are expected to make significant economic commitments in Singapore.

Generally, applicants are expected to carry out substantive, high value activities in Singapore, and will be required to commit to certain levels of local business spending and skilled employment.

Some factors that will be considered include the use of Singapore as a base from which to implement regional expansion strategies; introduction and anchoring of leading-edge skills, technology, and activities in Singapore; contributions to the growth of R&D and innovation capabilities; and potential spin-off to the rest of the economy.

Open Pioneer Tax Incentive

Corporations manufacturing approved products with high technological content or providing qualifying services may apply for tax exemption for five to 15 years for each qualifying project or activity under the pioneer tax incentive.

Corporations may apply for their post-pioneer profits to be taxed at a reduced rate under the Development and Expansion Incentive.

Open Development and Expansion Incentive

Under the Development and Expansion Incentive, corporations engaging in new high-value-added projects, expanding or upgrading their operations, or undertaking incremental activities after their pioneer period may apply for their profits to be taxed at a reduced rate of not less than 5% for an initial period of up to ten years.

The total tax relief period for each qualifying project or activity is subject to a maximum of 40 years.

Open Investment allowance

Under the investment allowance, a tax exemption is granted on an amount of profits based on a specified percentage (of up to 100%) of the capital expenditure incurred for qualifying projects or activities within a period of up to five years (up to eight years for assets acquired on hire-purchase).

Investment allowances of 100% of capital expenditure (net of grants) may be granted to businesses seeking to make substantial investment in automation, subject to a cap of SGD 10 million per project.

Open Refundable Investment Credit

Companies making sizeable investments that bring high-value and substantive economic activities to Singapore in key economic sectors and new growth areas may apply for up to 50% investment credit on qualifying expenditure incurred during a qualifying period of up to ten years.

The investment credit is to be offset against the company’s income tax payable, and any unutilised credits will be refunded to the company in cash within four years from when the company meets the conditions for receiving the credits.

The scheme is intended to be consistent with the Global Anti-Base Erosion (GloBE) Rules for Qualified Refundable Tax Credits.

Open Incentives For Internationalisation

The double tax deduction scheme for internationalisation allows companies expanding overseas to claim a double deduction for eligible expenses for specified market expansion and investment development activities.

This includes qualifying manpower expenses incurred from 1 July 2015 to 31 December 2025 when Singaporeans or permanent residents of Singapore are deployed to overseas entities.

Open Enterprise Innovation Scheme (EIS)

For the years of assessment 2024 to 2028, businesses that engage in the following qualifying activities will be allowed a 400% tax deduction or allowances for qualifying expenditure:

• R&D projects conducted in Singapore (capped at SGD 400,000 of qualifying expenditure).

• IP registration (capped at SGD 400,000 of qualifying expenditure).

• Acquisition or licensing of IP rights (capped at SGD 400,000 of qualifying expenditure and available only to businesses that generated less than SGD 500 million in revenue in the relevant year of assessment).

• Employee training (capped at SGD 400,000 of qualifying expenditure).

• Innovation projects carried out with Polytechnics, the Institute of Technical Education, or other qualified partners (capped at SGD 50,000 of qualifying expenditure).

Qualifying businesses may opt to convert the above tax deductions to a cash payout. They would receive, in lieu of the deduction, a non-taxable cash payout of 20% of total qualifying expenditure of up to SGD 100,00

Open Intellectual Property Development Incentive (IDI)

The Intellectual Property Development Incentive (IDI) scheme was introduced to encourage the use and commercialisation of IP arising from R&D activities of the taxpayer.

An approved IDI company will be eligible for a reduced tax rate of either 5%, 10%, or 15% on a percentage of qualifying income derived from the commercialisation of certain IP.

The percentage is determined by the modified nexus approach set out in the Action 5 report of the OECD base erosion and profit shifting (BEPS) project. The concessionary tax rate will increase at regular intervals as prescribed in the Income Tax Act.

Open Mergers & Acquisitions Allowance

The mergers and acquisitions allowance allows a write-off of 25% of the value of qualifying mergers or acquisitions deals executed between 1 April 2015 and 31 December 2025.

The amount of allowance, to be claimed over five years, is subject to a cap of SGD 5 million (for deals executed between 1 April 2015 and 31 March 2016) or SGD 10 million (for deals executed between 1 April 2016 and 31 December 2025) for all qualifying acquisitions made in the basis period for each year of assessment.

This incentive is available to companies that are incorporated, tax resident, and carrying on a business in Singapore.

A 200% tax allowance is also granted on transaction costs (capped at SGD 100,000 per year of assessment) incurred on qualifying deals.

Open Financial Services Incentives

Financial Sector Incentive (FSI) Scheme:

The FSI scheme covers a broad range of financial institutions, including bond intermediaries, derivative traders, fund managers, equity capital market intermediaries, operational headquarters, providers of high-value-added processing services supporting financial activities, providers of trustee and custodian services, and trust management or administration services. Financial institutions that plan to expand their Singapore operations and are prepared to meet various strict qualifying conditions may apply for this incentive.

Under the FSI scheme, income from certain high growth, high-value-added activities, such as services and transactions relating to the bond market, derivatives market, equity market, and credit facilities syndication, may be taxed at 5%, while a broader range of financial activities will qualify for a 13.5% tax rate.

The concessionary tax rates available under the FSI scheme will be revised to either 10% or 13.5% for new awards and ren

Open Headquarters Schemes

Depending on their level of economic commitments to Singapore, international headquarters can apply for various tax incentives, including concessionary tax rates on qualifying income.

Open Maritime Sector Incentive (MSI) scheme

The Maritime Sector Incentive (MSI) scheme is the umbrella incentive for the maritime sector.

Incentives offered include tax exemption for shipping companies and a 10% concessionary tax rate for international freight and logistics operators. Approved ship investment managers are also taxed at 10% on qualifying management-related income. The scheme also includes approved ship investment vehicles, which are tax exempt on their qualifying vessel lease income; approved container investment enterprises, which are taxed at 5% or 10% on qualifying income from container-leasing; and approved container investment management companies, which are taxed at 10% on qualifying management fees.

From income year 2023 (year of assessment 2024), qualifying shipping entities may opt to apply an alternative net tonnage basis of tax.

Qualifying ship operators and lessors under the MSI scheme also enjoy automatic tax exemption on gains from the disposal of vessels, vessels under construction, and new building contracts.

Open Global Trader Programme (GTP)

International traders are taxed at concessionary rates of 5%, 10%, or 15% on qualifying income from physical trading, brokering of physical trades, and derivative trading income.

Open Other incentives

Other incentives include tax exemptions for not-for-profit organisations and a concessionary tax rate of 8% or 10% for approved aircraft lessors.

Open Withholding taxes

In Singapore, certain payments to non-residents face withholding tax (WHT):

Interest on loans and rentals from movable property: 15% WHT, unless a treaty lowers it.

Royalties: 10% WHT.

This tax is final and applies only to non-residents without a business or permanent establishment (PE) in Singapore.

Technical assistance and management fees for services done in Singapore by non-resident companies: taxed at the standard corporate rate (not final).

Exemptions or lower rates for royalties, interest, rentals, technical fees, or management fees can apply under tax incentives or double taxation agreements (DTAs).

Public entertainers and non-resident professionals working in Singapore:

• Public entertainers: 15% final tax on gross income, unless they’re taxed as Singapore residents.

• Non-resident professionals: 15% final tax on gross income, but they can choose 24% on net income if it’s cheaper.

Ship charter fees: No WHT.

Open Tax Administration

Taxable Period:

In Singapore, the tax basis period is typically the calendar year (January 1 to December 31). However, if a company uses a different accounting period (like a financial year that doesn’t match the calendar year), the tax authorities will usually accept that accounting period instead.

In simple terms: Taxes are based on the calendar year by default, but they’ll follow your company’s accounting year if it’s different.

Tax Returns:

Tax is computed for each tax year based on the income earned in the preceding year (the tax basis period). The corporation files an estimate of its income within three months of the end of the accounting period followed by a return of income by 30 November of the tax year, and the tax is assessed by the Comptroller of Income Tax.

All companies are required to file their tax returns electronically.

There is no fixed date for the issue of assessments.

Payment of Tax:

In Singapore, once you get a tax assessment notice, you must pay th

Open Exchange of information (EOI)

Generally, Singapore’s tax treaties and EOI arrangements include provisions for the exchange of information for tax purposes. Treaty partners may make a request to the Comptroller of Income Tax for information, or the exchange may take the form of spontaneous EOI or automatic EOI.

Spontaneous EOI:

Singapore has committed to spontaneously exchange certain rulings under the agreed framework for the compulsory spontaneous EOI set out in the BEPS Action 5 Report ‘Countering Harmful Tax Practices More Effectively, taking into Account Transparency and Substance’.

International Tax Compliance Agreements:

Singapore has also concluded the following international tax compliance agreements and will exchange information pursuant to those agreements as follows:

• Foreign Account Tax Compliance Act (FATCA)

Singapore has a Model 1 FATCA intergovernmental agreement (IGA) with the United States in place to help ease the compliance burden of Singapore-based financial institutions (SGFIs). All Reportin

Open Significant Developments

Individual tax changes proposed include:

• 50% personal income tax (PIT) rebate for resident individuals, capped at 200 Singapore dollars SGD, for income year 2023 (year of assessment 2024).

• Progressive withdrawal of the tax concessions for royalty income derived by authors, composers, and choreographers.

• Increase in the annual income threshold for dependant-related reliefs from SGD 4,000 to SGD 8,000, with effect from the year of assessment 2025.

• Withdrawal of course fees relief from year of assessment 2026.

• Withdrawal of Central Provident Fund (CPF) - Cash Top-Up Relief for CPF top-ups that attract matching grants under the Matched Retirement Savings Scheme from year of assessment 2026.

Other tax changes include:

• New Additional Buyer’s Stamp Duty (ABSD) concession for single seniors who are Singapore citizens.

• Revision to the annual value bands for owner-occupied residential property tax rates from 1 January 2025.

Open Taxes on Personal Income

Overview:

Income is taxable when it accrues in or is derived from Singapore, whether or not the individual is resident in Singapore.

Income derived from sources outside Singapore is only taxable if it is received in Singapore by a resident individual through a partnership in Singapore.

Resident individuals are entitled to certain personal reliefs and deductions and are subject to graduated tax rates ranging from 0% to 24%.

Non-resident individuals are not entitled to any personal reliefs and deductions and are subject to tax at a flat rate of 24%.

As a concession, employment income of non-residents is taxed at the higher of a flat rate of 15% or the graduated resident rates with personal reliefs. This concession does not apply to non-resident directors.

Individual Income Tax Rates:

1. Residents

For year of assessment 2024, all resident individuals will be granted a tax rebate of 50% of tax payable, capped at SGD 200.

2. Non-residents

Non-resident individuals ar

Open Residence

In Singapore, you’re considered a resident if you live there, as long as any short absences (like trips or time away) are reasonable and don’t contradict the idea that Singapore is your home.

Individuals who are physically present or who exercise an employment (other than as a board director of a company) in Singapore for 183 days or more during the calendar year preceding the year of assessment are treated as tax residents for that year of assessment.

As a concession, a foreigner who stays or works in Singapore for a consecutive period spanning three calendar years (not necessarily three complete calendar years) is considered a tax resident.

As a further concession, a foreigner who works in Singapore for a continuous period straddling two calendar years and stays in Singapore for at least 183 days will be considered a tax resident for those two years. This does not apply to directors of a company, public entertainers, and professionals.

Foreigners will also be treated as a tax resident if they a

Open Other Taxes

Social Security Contributions:

• Central Provident Fund (CPF)

The CPF is Singapore's national pension scheme. Contributions are payable by Singapore citizens and Singapore Permanent Residents (i.e. SPR obtained via immigration rules) only.

Employers and employees contribute 17% and 20%, respectively, of ordinary monthly wages, up to an income ceiling of SGD 6,800 (from 1 January 2024 to 31 December 2024).

Their respective maximum contributions are therefore SGD 1,156 and SGD 1,360 per month. The rates are applicable to Singaporeans and SPRs (from third year and onwards) aged 55 years and below.

Reduced rates apply for employees who are earning less than SGD 750 per month, as well as for those above 55 years of age, although these rates are being gradually increased.

The income ceiling will be increased to SGD 7,400 from 1 January 2025 and SGD 8,000 from 1 January 2026. The annual ordinary wage ceiling and maximum monthly contributions for employers and employees will be increased accor

Open Income determination

Employment Income:

If the employment is exercised in Singapore, employment income is treated as earned in Singapore and is therefore taxable in Singapore. It generally does not matter where the employer is situated, where the remuneration is paid or which entities benefit from the services in determining the country of source of employment income.

Employment income includes salaries, bonuses, allowances, perquisites, and benefits in kind. All gains and profits derived by an employee due to employment is taxable unless exempted or given an administrative concession. Certain benefits in kind are accorded preferential rates, which are less than the actual cost to the employer.

The taxable value of housing accommodation provided to employees is the actual rent paid by the employer. In limited circumstances where there is no rent paid by the employer (e.g. employer-owned property), the Inland Revenue Authority of Singapore (IRAS) may apply the annual (rental) value (AV) of the property, less the rent

Open Deductions

Employment Expenses:

Employment expenses can be deducted from employment income if they are wholly and exclusively incurred in the production of the income in Singapore.

These expenses must have been incurred by the employee in carrying out one's official duties and cannot have been reimbursed by the employer or of a capital/private nature.

Personal Deductions:

• Charitable contributions

Generally, a 250% deduction may be claimed for qualifying donations to Community Chest or any approved institution of a public character (status accorded to certain charities).

• Mortgage deduction

Interest expense may be deductible, provided it is incurred wholly and exclusively in the production of taxable income. Mortgage interest is, therefore, deductible only where the property concerned yields income.

• Subscription fees

An individual can deduct annual subscriptions paid to professional institutes or societies in which membership is generally required as a condition of employment. Sub

Open Foreign Tax Relief & Tax Treaties

Foreign Tax Relief:

As foreign income remitted into Singapore is generally not taxable for individuals, double tax (provided under tax treaties) or unilateral tax credit (provided under domestic tax law) is largely not relevant.

Tax Treaties:

Singapore has comprehensive double tax treaties (DTTs) with the following countries:

1. Albania

2. India

3. Panama

4. Armenia

5. Indonesia

6. Papua New Guinea

7. Australia

8. Ireland

9. Philippines

10. Austria

11. Isle of Man

12. Poland

13. Bahrain

14. Israel

15. Portugal

16. Bangladesh

17. Italy

18. Qatar

19. Barbados

20. Japan

21. Romania

22. Belarus

23. Jersey

24. Russian Federation

25. Belgium

26. Jordan

27. Rwanda

28. Brazil

29. Kazakhstan

30. San Marino

31. Brunei

32. Republic of Korea

33. Saudi Arabia

34. Bulgaria

35. Kuwait

36. Serbia

37. Cambodia

38. Laos

39. Seychelles

40. Canada

41. Latvia

42. Slovak Republic

43. Pe

Open Other Tax Credits & Incentives

Parenthood Tax Rebate:

A rebate against either or both parents’ tax liability of SGD 5,000, SGD 10,000, and SGD 20,000 is available for the first, second, and each subsequent Singaporean child respectively.

Open Tax Administration

Taxable Period:

The tax year in Singapore is the calendar year. An individual’s income from a preceding calendar year is assessed to tax in the following calendar year (i.e. year of assessment).

Tax Returns:

Each taxpayer is required to make an annual return of income and of such particulars as may be required to determine the personal reliefs and deductions.

The tax return must be filed on a calendar-year basis and must be submitted by 15 April. If filed electronically, the deadline is 18 April.

Payment of Tax:

In Singapore, once you get a tax assessment notice, you must pay the assessed tax within one month, even if you disagree and file an objection with the tax authorities.

The notice of objection must be lodged within 30 days of the date of the notice of assessment, failing which the assessment will be treated as final.

In the case of an employee, the tax authorities will, upon application, generally allow the payment of tax by monthly instalments with no interest, us

Open Other issues

Exchange Controls:

There are no exchange control regulations in Singapore, and, as a result, there are no restrictions on movement of funds out of Singapore.

However, there is a reporting requirement if physical currency or bearer negotiable instruments brought into or out of Singapore exceed SGD 20,000.

Tax Equalisation or Reimbursement Plans:

Generally, a tax reimbursement program is provided by an employer to alleviate the additional tax costs which may be incurred as a result of an overseas assignment. A tax reimbursement program may be modelled either as a ‘tax protection’ or ‘tax equalisation’ plan.

Under a tax protection plan, the company reimburses the employee for actual taxes paid in excess of the amount the individual would have paid in their home country if they had not been posted overseas. If the actual tax liabilities are less than the hypothetical home country tax, the employee is allowed to keep the difference.

In contrast, a tax equalisation plan ensures that the e