Income Tax

Income Tax — a tax on personal earnings for individuals, income tax rate in Singapore is progressive starting at 0%. The maximum is 22% for yearly income over S$320,000. Foreigners pay the same tax on the income earned in Singapore.

Who pays Singapore income tax?

You have to pay Singapore income tax if you are a resident:

  • a Singaporean
  • a Permanent Resident that has settled in the country
  • a foreigner who has spent 183 days in Singapore or more in the tax year The employment income of non-residents (i.e. individuals who spent less than 183 days in the country) will be taxes as follows:
  • exempted from tax if you spent 60 days or less working. This does not apply to company directors, public entertainers, or professionals such as coaches, foreign speakers, consultants, etc.
  • at 15% or the regular progressive rate (whichever is higher) if you spend 61-182 days in Singapore
  • 15%-22% on director fees and consultant fees

What is the income tax rate in Singapore?

Chargeable income (S$)Estimated tax (S$)Effective tax rate
first 20,00000%
next 10,0002002.0%
next 10,0003503.5%
next 40,0002,8007.0%
next 40,0004,60011.5%
next 40,0006,00015.0%
next 40,0007,20018.0%
next 40,0007,60019.0%
next 40,0007,80019.5%
next 40,0008,00020.0%
over 320,00044,55022.0%

How is income tax calculated?

You are taxed on the chargeable income, meaning: your total income – qualifies expenses – donations – personal reliefs.

  • Your total income is anything you gain as a sole proprietr, partner in a partnership, or employed professional, dividends, interest, investment and rental income. It does not include qualified income earned overseas
  • You can deduct expenses like qualified employment or rental related expenses
  • You can deduct donations that you made to qualified charitable organizations
  • You can deduct personal reliefs such as certain course fees, parent relief, etc.

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