We believe that the majority of taxpayers want to comply with their tax obligations but occasionally, they may make mistakes in their tax returns due to lack of care or awareness of their tax obligations.
The Voluntary Disclosure Programme aims to encourage taxpayers who have made mistakes in their tax returns in the past to come forward to have their mistakes corrected and their tax records straightened, with the promise of zero or lower penalties.
Where there is evidence that a taxpayer had originally intended to evade tax, the taxpayer does not qualify for the Voluntary Disclosure Programme. Voluntary disclosures made by those willfully evading taxes will be accepted as mitigating factors when IRAS considers penal charges. Hence, taxpayers are encouraged to review their past tax returns and when in doubt, approach IRAS for advice.
On this page:
The IRAS Voluntary Disclosure Programme
Application
The Voluntary Disclosure Programme applies to Income Tax (including withholding tax), GST and Stamp Duty. It does not apply to taxpayers who wilfully evade tax. Prosecution or similar deterrent measures will be taken against taxpayers who deliberately evade taxes.
Back to Top
Qualifying Conditions
A voluntary disclosure under the Voluntary Disclosure Program is one which is timely, accurate, complete and self-initiated by the taxpayer. The taxpayer should also demonstrate full cooperation with IRAS to have his mistake corrected, and the willingness to pay any additional tax raised and/or penalty, if any.
Back to Top
Zero Penalty or Reduced Penalty
IRAS is prepared to accord the following penalty treatment for first-time voluntary disclosure of incorrect returns, instead of imposing maximum penalties (up to 200% of tax undercharged for Income Tax and tax unpaid for GST, and up to 20% for Withholding Tax unpaid)
| Types of Voluntary Disclosures |
Penalty Treatment |
Timely voluntary disclosure made within a grace period of one year from statutory filing date.
The qualifying conditions under the Voluntary Disclosure Programme must be met
|
Zero penalty
|
Voluntary disclosures made after grace period
|
Reduced penalty of :
|
^ For Income Tax, zero penalty or the waiver of penalty is granted for voluntary disclosures made within a ‘grace period’ of one year from the statutory filing date. After the lapse of the ‘grace period’, IRAS will impose a reduced penalty of 5% for every back year the disclosure was untimely, on an incremental basis.
Back to top
To Notify IRAS
To inform IRAS on errors or omissions made in the past, taxpayers may do the following:
Alternatively, taxpayers may write in to:
Inland Revenue Authority of Singapore
Revenue House
55 Newton Road
Singapore 307987
e-Tax Guide on IRAS Voluntary Disclosure Programme
Taxpayers may refer to the e-Tax guide on IRAS Voluntary Disclosure Program.