Late Payment Penalty
You have one month from the date of the Notice of Assessment
(NOA) to pay your taxes.
You are still required to pay the tax assessed as shown on
the NOA by the payment due date even if you have filed an objection and are
awaiting the outcome. If the assessment is subsequently revised, any excess
payment will be refunded.
If payment is not received by the due date, a 5%
penalty and subsequently an additional 1% penalty will be imposed for every
completed month (up to a maximum of 12% of the tax outstanding).
Late Payment Penalty Letter
You
will be informed of the 5% penalty via a late payment penalty letter. Payment
must be made by the due date stated on the letter to avoid further enforcement actions.
GIRO Cancellation or Termination
If the deduction through GIRO is unsuccessful due to reasons
such as insufficient funds in the bank account, or the deduction amount is
higher than the limit set, etc., IRAS will cancel the GIRO plan.
A late payment penalty letter and a GIRO cancellation letter
will be issued to inform you that the GIRO plan has been cancelled.
Imposition of Additional Penalty
Additional penalties of 1% per month may be
imposed if the tax remains unpaid 60 days after the imposition of the 5%
penalty. The 1% penalty will be imposed for each completed month that the tax
remains unpaid, up to a maximum of 12% of the tax outstanding (inclusive of the
5% late payment penalty).
Further Enforcement Actions
If the tax continues to remain unpaid, other actions to
recover the taxes may include:
- Appointing
agents like your bank, employer, tenant or lawyer to pay the moneys to IRAS;
- Issuing a
Travel Restriction Order (TRO) to stop you from leaving Singapore; and/or
- Taking
legal action.
In addition to the recovery actions, IRAS may concurrently
impose an additional 1% penalty on the overdue tax for each completed month
that the tax remains unpaid, up to a maximum of 12% of the tax outstanding.
Releasing Appointed Agents
Agents
will only be released from the appointment after the tax and penalties have
been paid, or when payment has been arranged with IRAS.
Note:
For banks appointed as agents, requests for release cannot be processed on Saturdays, Sundays and Public Holidays. Any request for release of bank after 2pm on weekdays can only be processed on the next working day.
Travel Restrictions
If a Travel Restriction Order (TRO) is issued, you will
be stopped from leaving Singapore at the Immigration exit checkpoints.
The TRO will be withdrawn upon full payment of the tax due. To do so, you are
required to produce the proof of payment to the Immigration & Checkpoints
Authority (ICA) officer. It is your responsibility to ensure that you have a valid pass to remain in Singapore. If extension of time is required to resolve your tax matters with IRAS, please approach the ICA to extend your stay in Singapore.
Please
note that IRAS is unable to withdraw the TRO on weekends and Public Holidays.
Checking Tax Balance and Making Payment
Please log in to myTax Portal and select "View Account Summary” to check your current
balance.
Please
refer to Income Tax Payments for the various payment modes available.
Appeal for Late Payment Penalty Waiver
Appeals have
to be made online via myTax Portal and
will only be considered if the following conditions are met:
- You
have paid the overdue tax in full, by the due date as stated in the late
payment penalty letter; and
- a.
This is your first appeal; or
b. You have paid on time for the past two years.