Basic info for new employers
Responsibilities as an employer
All employers are required by law [S68(2) of the Income Tax Act] to prepare Form IR8A and Appendix 8A, Appendix 8B or Form IR8S (where applicable) for all your employees who are employed in Singapore by 1 Mar each year.
Employers need not submit the forms to IRAS.
Generally, all gains and profits derived by an employee in respect of his employment are taxable, unless they are specifically exempt from income tax or are covered by an existing administrative concession.
When your non-Singapore Citizen employee ceases employment with you in Singapore or plans to leave Singapore for more than three months, it is your responsibility to ensure that he/she pays all taxes. This process is known as Tax Clearance and applies to all work pass holders including Personalised Employment Pass (PEP) holders.
Tax Filing Obligations
A foreign employee who is treated as a tax resident with an annual income of $22,000 or less is not required to submit an income tax return.
If your employees have not received any notification from IRAS by 15 Mar, they need not contact IRAS to make enquiries or request for an income
Under this scheme, employers submit electronically the employment income information of their employees to IRAS. The submitted information will then be automatically included in the employees' income tax assessment.