Our Belief about Taxpayers

The large majority of compliant taxpayers exerts an influence on societal behaviour and creates pressure on the minority group of errant taxpayers to turn compliant.

 We tailor our compliance approach to different taxpayer segments so that we can assist taxpayers according to their needs. 

We believe that there are four different profiles of taxpayers. They are:
- Voluntarily compliant;
- Unaware;
- Negligent; and 
- Errant. 

It is our belief that most taxpayers are voluntarily compliant. A smaller number may be unaware, or negligent. We expect only a very small minority to be errant.

We tailor our compliance approach to the different taxpayer segments, so that we can assist and interact with taxpayers according to their needs. The four taxpayer profiles and examples of our initiatives are listed below:

1. Voluntarily Compliant

The vast majority of taxpayers comply voluntarily with their tax obligations. We proactively provide the necessary platforms and services to enable them to do so.

Examples: e-Services, frontline services, No-Filing Service, and the simplification of filing via the Auto-inclusion of Employment Income Scheme

2. Unaware

Some taxpayers want to comply but require assistance to do so. We invest effort into raising taxpayers’ awareness of tax issues and providing taxpayers with accurate information to prevent non-compliance.

Examples: SMS reminders, seminars, public communications and dialogues with trade associations

3. Negligent

Some taxpayers may not have given sufficient attention to their tax obligations. We detect errors and deter recurrence of mistakes made by this group.

Examples: Audit Programmes and Voluntary Disclosure Programme to encourage correction of errors

4. Errant

A minority of taxpayers intentionally cheat or evade tax. IRAS will not hesitate to take strong actions against them and penalise such errant taxpayers.

If you are aware that someone has evaded tax in Singapore, you are encouraged to contact us.

Examples: Deterrent penalties, enforcement actions, investigation and prosecution

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