Taxes in Singapore
Singapore's tax system is one of its biggest attractions for expats and businesses alike. Understanding it can significantly benefit your financial planning.
Tax Residency
You're a tax resident if you:
- Are a Singapore citizen or PR
- Stayed/worked in Singapore for 183+ days in a calendar year
- Worked continuously across 2 calendar years totaling 183+ days (excluding directors, entertainers, professionals)
Tax residents pay progressive rates on Singapore-source income.
Non-residents pay a flat 15% on employment income (or resident rates if higher).
Personal Income Tax Rates (2026)
| Chargeable Income (S$) | Tax Rate |
|---|---|
| First 20,000 | 0% |
| 20,001 - 30,000 | 2% |
| 30,001 - 40,000 | 3.5% |
| 40,001 - 80,000 | 7% |
| 80,001 - 120,000 | 11.5% |
| 120,001 - 160,000 | 15% |
| 160,001 - 200,000 | 18% |
| 200,001 - 240,000 | 19% |
| 240,001 - 280,000 | 19.5% |
| 280,001 - 320,000 | 20% |
| 320,001 - 500,000 | 22% |
| 500,001 - 1,000,000 | 23% |
| Above 1,000,000 | 24% |
What Makes Singapore Tax-Friendly
No capital gains tax: Profits from selling investments, property (with exceptions), or businesses are not taxed.
No inheritance/estate tax: Abolished in 2008.
Territorial taxation: Foreign-source income is generally not taxed, even if remitted to Singapore (with some exceptions for partnerships).
No dividend tax: Dividends from Singapore companies (one-tier system) are tax-free.
No state/local taxes: Only one level of income tax.
Taxes You Will Pay
Personal Income Tax: On Singapore-source employment income.
GST (Goods & Services Tax): 9% on most goods and services. Included in displayed prices usually.
Property Tax: If you own property (0-36% of annual value depending on type and occupancy).
Stamp Duty: On property transactions and some documents.
Key Filing Information
- Tax Year: January 1 - December 31
- Filing Deadline: April 15 (paper) / April 18 (e-filing)
- How to File: myTax Portal (IRAS online system)
- Auto-Inclusion Scheme: Many employers submit employee income directly to IRAS
For New Expats
First year considerations:
- You may have dual tax obligations (home country + Singapore)
- Singapore has tax treaties with 90+ countries to avoid double taxation
- Keep records of days spent in Singapore for residency determination
- Employer typically handles tax filing for employees under Auto-Inclusion Scheme
Leaving Singapore
Tax clearance required: When you leave Singapore or your employment ends, employer must file IR21 (tax clearance) at least 1 month before departure. Your final pay may be held until tax clearance is obtained.
No CPF for Foreigners
CPF (Central Provident Fund) is Singapore's mandatory savings scheme, but foreigners on work passes do NOT contribute. If you become a PR, you'll start contributing:
- Employee: 20% of salary
- Employer: 17% of salary
This is a significant "hidden cost" of becoming PR (offset by benefits like housing grants and healthcare).
Getting Help
- IRAS: Inland Revenue Authority of Singapore (iras.gov.sg)
- Tax agents: Many accounting firms help with filing
- Simple returns: Many expats can file themselves via myTax Portal
Pro Tips
- •Keep track of days in Singapore—183+ days makes you tax resident
- •Foreign income is generally not taxed—great for investors
- •File via myTax Portal—it's straightforward for most employees
- •Check tax treaties if you have income from other countries
- •Tax clearance is required when leaving—plan ahead
Have questions about taxes in Singapore?