The amount of income tax that you have to pay depends on your tax residency status in Singapore.
You are regarded as a tax resident if:
Tax Residency Status
Tax Implications
At least 183 days in a year
Tax resident for that year
Income is taxed at progressive resident rates. You may claim tax reliefs.
At least 183 days for a continuous period over two years and the employment period must straddle two calendar years
Tax resident for both years
Three consecutive years
Tax resident for all three years
You will be regarded as a non-resident of Singapore for tax purposes if:
If you are here for 61 to 182 days
Non-Resident
Your employment income is taxed at 15% or progressive resident rates, whichever gives rise to a higher tax amount. Director's fees and other income are taxed at the prevailing rate of 20% (22% from the Year of Assessment 2017). You are not entitled to tax reliefs.
If you are employed for 60 days or less
Your short-term employment income is exempt from tax. This rule does not apply if:
Director's fees and other income are taxed at the prevailing rate of 20% (22% from the Year of Assessment 2017). You are not entitled to tax reliefs
Tax residents are taxed at progressive tax rates.
Non-residents are taxed at the flat rate of 15% or the resident rates whichever results in a higher tax amount on your employment income. Director's fees and other income are taxed at the prevailing rate of 20% (22% from the Year of Assessment 2017). Non-residents are not entitled to tax reliefs.
Besides salaries and bonuses, employment benefits such as housing and stock options will also form part of your taxable employment income .
Overseas income derived outside Singapore, Singapore dividends and bank interest are tax exempt in Singapore.
Any rent payments you receive when you rent out your property in Singapore are subject to income tax and must be declared in your income tax return. For more information, please refer to Rental Income and Expenses.
There are a number of ways that you could save tax (conditions apply):
Please make sure that you give us your latest address so that we can send your tax bill to you.
You can send your update online by logging in to myTax Portal . You will need a SingPass or IRAS Unique Account. If you do not have a SingPass or an IRAS Unique Account, you may apply for one on our website.
If you are about to leave Singapore or changing to another job within Singapore , you must settle all your taxes. This process is known as tax clearance. For tax clearance, your current employer must notify IRAS and make sure you have paid all taxes before you cease employment with them.
If you still hold any existing stock options or awards on hand which have yet to be exercised or vested, you will be considered to have derived gains from the stock or awards at the point of tax clearance.
We have Online Calculators to help you do a quick assessment:
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