Property tax is computed as follows:
Property tax payable yearly = Annual Value X Tax Rate
Hence if the Annual Value is $24,000 and the tax rate is 10%,
Property Tax payable = $24,000 X 10%
= $2,400 yearly
The current tax rate is 10%. However, the property tax payable may be lower if you are eligible for owner occupier’s tax rates or any tax concession or relief. Prior to 1 Jan 2011, the tax rate was a flat rate of 4%. With effect from 1 Jan 2011, the progressive owner-occupier’s tax rates have replaced the flat 4% tax rate as follows:
| Annual Value ($) |
Tax Rate (%) |
| First 6,000 |
0 |
| Next 59,000 |
4 |
| Amount exceeding 65,000 |
6 |
Computation of Tax Payable from 1 Jan 2011
| Annual Value ($) |
Tax Rate (%) |
Tax Amount ($) |
First 6,000
Next 59,000 |
0
4
|
0
2,360
|
First 65,000
Amount exceeding 65,000 |
-
6
|
2,360 |
If you own and occupy your home which is currently taxed at 10%, you may apply for the owner occupier's tax rates.
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Computation based on owner-occupier's tax rates
Example 1: AV of your house is $9,000
| Property Tax payable is: |
First $6,000 X 0% |
= $ 0 |
| |
Next $3,000 X 4% |
= $120 |
| Tax payable: |
= $120 |
Example 2: AV of your house is $24,000
| Property Tax payable is: |
First $6,000 X 0% |
= $ 0 |
| |
Next $18,000 X 4% |
= $720 |
| Tax payable: |
= $720 |
Example 3: AV of your house is $84,000
| Property Tax payable is: |
First $6,000 X 0% |
= $ 0 |
| |
Next $59,000 X 4% |
= $2,360 |
| |
Remaining $19,000 X 6% |
= $1,140 |
| Tax payable: |
= $3,500 |
New! 2012 Property Tax Rebate for Owner-Occupied HDB Flats
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