You must charge GST on the supply of local telecommunication services. Where the supply qualifies as an international service, you may zero-rate the supply of service.

Zero-rating of supplies

In general, the supply of local telecommunication services is a standard-rated supply.

Prescribed telecommunication services

You can zero-rate your supply of telecommunication services, whether it is made to an overseas or a local person, if the services:

  • Are prescribed in the Fifth Schedule of the GST (International Services) Order, and
  • Comprise the provision of telecommunications transmitted:

    (a) Into and out of Singapore; or

    (b) Outside Singapore.

Examples of prescribed services include the provision of voice transmission services through phone lines/mobile phones, satellite services, messaging services such as SMS and MMS. Such services can only be zero-rated if they involve international transmission.

For more details, refer to GST Guide on Zero-rating Telecommunication and Related Services under Section 21(3)(q) (PDF, 435KB).


Relevant section for zero-rating

Section 21(3)(q) of the GST Act