Real People, Real Difference
Singapore Tax Rates
| Corporate Tax Rate | Personal Tax Rate (Resident Rate) | Personal Tax Rate (Non Resident) |
Goods & Services Tax | Other Tax Information |
|---|
Corporate Tax Rate
The corporate tax rate is charged on the chargeable income of a company, irregardless of whether it is a local or foreign company.
The corporate tax rate for Year of Assessment (YA) 2010 onwards is 17%
In addition, companies can enjoy partial tax exemption scheme on a portion of its chargeable income. The exemption rates are as illustrated below:
Partial Exemption Scheme for all Companies
| Chargeable Income | Taxable income amount | Tax Payable | Effective Tax Rate |
|---|---|---|---|
| First $10,000 | $2,500 | $425 | 4.3% |
| Next $290,000 | $145,000 | $24,650 | 8.5% |
| First $300,000 | $147,500 | $25,075 | 8.4% |
| From $300,001 onwards | Fully taxable at 17% | ||
For new startup companies, there is a Tax Exemption Scheme for new start-up companies available for all qualifying companies* for the first 3 consecutive YAs of the qualifying companies. The exemption rates are as illustrated below:
Tax Exemption Scheme for Qualifying Companies (new startups)
| Chargeable Income | Taxable income amount | Tax Payable | Effective Tax Rate |
|---|---|---|---|
| First $100,000 | $0 | $0 | 0% |
| Next $200,000 | $100,000 | $17,000 | 8.5% |
| First $300,000 | $100,000 | $17,000 | 5.7% |
| From $300,001 onwards | Fully taxable at 17% | ||
Qualifying Companies must meet the following criteria for YA 2009 onwards:
- Be incorporated in Singapore
- Be a tax resident in Singapore (ie, the control and management of the business is exercised in Singapore)
- Have no more than 20 shareholders throughout the basis period for which the YA is claimed
- Have at least 1 individual shareholder beneficially holding a minimum of 10% of the issued ordinary shares of the company
Personal Tax Rate for Resident Individual (Resident Rate)
| Chargeable Income | Rate (%) | Income Tax Payable ($) | Effective Tax Rate |
|---|---|---|---|
| First $20,000 | 0 | $0 | 0% |
| Next $10,000 | 3.5 | $350 | 8.5% |
| First $30,000 | - | $350 | 1.2% |
| Next $10,000 | 5.5 | $550 | |
| First $40,000 | - | $900 | 2.3% |
| Next $40,000 | 8.5 | $3,400 | |
| First $80,000 | - | $4,300 | 5.4% |
| Next $80,000 | 14 | $11,200 | |
| First $160,000 | - | $15,500 | 9.7% |
| Next $160,000 | 17 | $27,200 | |
| First $320,000 | - | $42,700 | 13.3% |
| Above $320,000 | 20 |
Personal Tax Rate for Non Resident Individuals
You are a non resident if you have stayed/worked in Singapore for less than 183 days or you are a director of a company in Singapore without employment pass.
Your employment income is taxed at the higher of resident rate or 15%.
Director’s fees, consultation income and other income received are taxed at 20%
Goods Services Tax
The Goods and Services Tax (GST) is applicable for local sale of goods and services made in Singapore.
The GST rate is at 7%.
GST registration is mandatory if the turnover of your business is S$1 million for the past 12 months. In addition, you can also apply to be a GST registered trader voluntarily.
Other Tax Information
| Other Income and Gains | Tax Rate |
|---|---|
| Capital Gains | 0% |
| Dividends declared from after tax profits to shareholders | 0% |
| Foreign sourced income not brought into singapore | 0% |
| Foreign sourced income brought into Singapore | Determined based on available tax treaties between Singapore and country where income is sourced. |