print friendly version
Text Size  A  A  A

Estate duty

Basis of imposition of late payment penalties

An example when NOA is received within 6 months from the date of death of the deceased

Events Date

Date of Death

14 Jan 05

Date of Notice of Assessment (NOA)

01 Jun 05

Due Date of Notice of Assessment (NOA)

01 Jul 05

Relevant Date

14 Jul 05

Imposition of penalty of 6% per year

16 Aug 05

Imposition of penalty of 1% per completed month

17 Sep 05

 

Basis of imposition within 6mths  

Type of Scenarios (Unpaid Estate Duty = $100,000)

Scenario 1

Full payment is made on 10 Aug 05 (One complete month being 14 Aug 05)
(First complete month after the Relevant Date)
No penalty is payable

Scenario 2

Full payment is made on 18 Aug 05 (1 complete month)

Penalty Imposed Period Penalty Amount 

Penalty imposed for 15 Jul 05 to 15 Aug 05:

$100,000 x 6% x 1/12 = $500.00

Scenario 3

Full payment is made on 10 Oct 05 (2 complete months)

Penalty Imposed Period Penalty Amount 

Penalty imposed for 15 Jul 05 to 15 Aug 05:

$100,000 x 6% x 1/12 = $500.00

Penalty imposed for 16 Aug 05 to 16 Sep 05:

{$100,000 x (6% +1%) x 1/12} = $583.30

Total penalty:

$1,083.30

 Scenario 4

Full payment is made on 10 Feb 06 (6 complete months)

Penalty Imposed Period Penalty Amount 

Penalty imposed for 15 Jul 05 to 15 Aug 05:

$100,000 x 6% x 1/12 = $500.00

Penalty imposed for 16 Aug 05 to 16 Sep 05:

{$100,000 x (6% +1%) x 1/12} = $583.30

Penalty imposed for 17 Sep 05 to 17 Oct 05:

{$100,000 x (6% +2%) x 1/12} = $666.70

Penalty imposed for 18 Oct 05 to 18 Nov 05:

{$100,000 x (6% +3%) x 1/12} = $750.00

Penalty imposed for 19 Nov 05 to 19 Dec 05:

{$100,000 x (6% +4%) x 1/12} = $833.30

Penalty imposed for 20 Dec 05 to 20 Jan 06:

{$100,000 x (6% +5%) x 1/12} = $916.70

Total penalty:

$4,250.00

Scenario 5

Full payment is made on 10 Jan 07 (17 complete months)

Penalty Imposed Period Penalty Amount 

Penalty imposed for 15 Jul 05 to 15 Aug 05:

$100,000 x 6% x 1/12 = $500.00

Penalty imposed for 16 Aug 05 to 16 Sep 05:

{$100,000 x (6% +1%) x 1/12} = $583.30

Penalty imposed for 17 Sep 05 to 17 Oct 05:

{$100,000 x (6% +2%) x 1/12} = $666.70

Penalty imposed for 18 Oct 05 to 18 Nov 05:

{$100,000 x (6% +3%) x 1/12} = $750.00

Penalty imposed for 19 Nov 05 to 19 Dec 05:

{$100,000 x (6% +4%) x 1/12} = $833.30

Penalty imposed for 20 Dec 05 to 20 Jan 06:

{$100,000 x (6% +5%) x 1/12} = $916.70

Penalty imposed for 21 Jan 06 to 21 Feb 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 22 Feb 06 to 22 Mar 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 23 Mar 06 to 23 Apr 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 24 Apr 06 to 24 May 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 25 May 06 to 25 Jun 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 26 Jun 06 to 26 Jul 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 27 Jul 06 to 27 Aug 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 28 Aug 06 to 28 Sep 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 29 Sep 06 to 29 Oct 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 30 Oct 06 to 30 Nov 06:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Penalty imposed for 01 Dec 06 to 01 Jan 07:

{$100,000 x (6% +6%) x 1/12} = $1,000.00

Total penalty:

$15,250.00

 

Last Updated on 14 December 2012


Privacy Policy / Terms of Use
© 2007 Inland Revenue Authority of Singapore. All Rights Reserved.