Residential properties that are owner-occupied enjoy lower tax rates than residential properties that are not occupied by the owner(s).

Lower property tax rates for owner-occupied residential properties

Owner-occupied residential properties enjoy lower tax rates than those not occupied by the owner. The lower owner-occupier tax rates are to encourage home ownership in Singapore.  

The tax rates are  progressive, where residential properties assessed with higher annual value  are taxed at higher rates. 

To check the tax rates applied on your property, refer to the tax rate indicator stated in your latest property tax bill. If the concession has been applied to your property, it will indicate "Owner-Occupier Tax Rates". You may also check the tax rates on our 'View Property Dashboard' digital service.

Owner-Occupier Tax Rates

Annual Value ($)Effective 1 Jan 2015Property Tax Payable

First $8,000
Next $47,000

0%
4%

 $0
$1,880

First $55,000
Next $15,000

-
6%

$1,880
$   900

First $70,000
Next $15,000

-
8%

$2,780
$1,200

First $85,000
Next $15,000

-
10%

$3,980
$1,500

First $100,000
Next $15,000

-
12%

$5,480
$1,800

First $115,000
Next $15,000

-
14%

$7,280
$2,100

First $130,000
Above $130,000

-
16%

$9,380

Example 1: AV of your house is $12,000

Annual Value ($)Tax Rate
Effective 2015
Property Tax Payable
First 8,000X 0%= 0
Remaining 4,000X 4%= $160

Property Tax Payable for 2015 = $ 160

Example 2: AV of your house is $36,000

Annual Value ($)Tax Rate
Effective 2015
Property Tax Payable
First 8,000X 0%= 0
Next 28,000X 4%= $1,120

Property Tax Payable for 2015 = $1,120

Example 3: AV of your house is $84,000

Annual Value ($)Tax Rate
Effective 2015
Property Tax Payable

First 8,000

X 0%

= 0

Next 47,000

X 4%

= $1,880

Next 15,000

X 6%

= $ 900

Remaining 14,000

X 8%

= $1,120

Property Tax Payable for 2015 = $3,900

Who qualifies for owner-occupier tax rates

You (as an individual or a married couple) must own and reside in the residential property to qualify for owner-occupier tax rates. If you are a married couple that owns 2 homes, the concession can only be applied to 1 home. Please note that even if a married couple were to occupy two homes, the owner-occupier tax rates can only apply to one of the homes. This is regardless of whether it is owned jointly or separately by the spouses. 

The owner-occupier tax rates are not applicable in any of the following scenarios: 

  1. You have wholly rented out your property;
  2. You have sold the property;
  3. The residential property is owned by a company, trust, association or a body of persons; and
  4. The property is a commercial or industrial building or land.
  5. The property is vacant.

Scenarios


Scenario 1: Owning more than 1 home

If you own a private property or HDB flat (A) and recently purchased another private property (B), you can apply for the owner-occupier tax rates for property (B) if you are living in it. The concession on property (A) will cease from the date you start enjoying the owner-occupier tax rates on property (B).

Scenario 2: Owning a property with a non-spouse


If you jointly own 2 residential properties (A and B) with another party other than your spouse (e.g. parents, siblings, etc.), you can apply for concession for each of the property.

Example: If you occupy residential property (A) and your parents occupy residential property (B), you can apply for the owner-occupier tax rates for property (A) and your parents can apply for the concession for property (B).

Scenario 3: Renting part of your home

If you partially let out your home while still living in it, you are still eligible for the owner-occupier tax rates.

Scenario 4: Deceased owner

The owner-occupier tax rates apply only when the owner owns and lives in the residential property.

When the owner passes away, the Legal personal representative should complete the legal transfer of the property to the beneficiaries as soon as possible. Owner-occupier tax rates may then apply, depending on the new ownership structure.

When the owner of a residential property that qualifies for owner-occupier tax rates passes away, IRAS will continue to apply the concession for up to 2 years from the owner’s passing or the date of transfer of the property, whichever is earlier. The tax rates will only be adjusted to higher non-owner-occupier tax rates if the property remains to be held by the estate of the deceased person. This automatic extension of the concessionary tax rates is to allow some time for the property transfer arrangements to be made.  Once the property transfer arrangements are completed, if the new owner moves in to reside in the property, he/she can then apply for the owner-occupier tax rates from the date of occupation.

If the property is legally constrained from being transferred to the beneficiaries (e.g. the beneficiary is below the legal age of 21), you can submit an appeal via email with this template (PDF, 42KB) for the owner-occupier tax rates to continue to apply to the property. Beneficiaries have to be residing in  the property and not be enjoying owner-occupier tax rates on another property to qualify for the concession. 

Automatic application of owner-occupier tax rates

Owner-occupier tax rates will automatically apply to:

  1. Buyers of new/ resale HDB, DBSS flats and new executive condominiums.
  2. Buyers of private residential property*
    If you are a Singapore Citizen or Singapore Permanent Resident who has purchased a new or resale private residential property, the owner-occupier tax rates are automatically applied when you and your spouse are not currently enjoying owner-occupier tax rates on any other residential property.
     *This initiative started from 1 Jan 2011

If you do not intend to reside in the property, please notify IRAS to withdraw the owner-occupier tax rates via our 'Apply/Withdraw for Owner-Occupier Tax Rates' digital service to avoid any penalty for late or non-notification.

Applying for owner-occupier tax rates

If you are residing in your property but it is currently taxed at "non-owner-occupier residential tax rates", you can apply for the owner-occupier tax rates via our 'Apply for Owner-Occupier Tax Rates' digital service. You can view the status of your application thereafter in the same digital service.

FAQs

Eligibility of owner-occupier tax rates

I reside in property (A) while my wife resides in property (B). Are the owner-occupier tax rates allowed on both properties?

Under the Property Tax Act, when 2 owners are married to each other, you can only apply the owner-occupier tax rates to 1 owner-occupied home,  regardless of whether it is owned jointly or separately by both of you.

I am renting out my property and renting another property near my daughter's school. Can IRAS reinstate the owner-occupier tax rates on my property?

Once you have rented out your property, the owner-occupier tax rates are no longer applicable from the date of rental and non-owner-occupier residential tax rates apply as you are not residing in the property. 

My elderly mother is staying in a nursing home and has rented out her property to pay for her expenses. Can IRAS reinstate the owner-occupier tax rates on her property?

As your mother has rented out her property, the owner-occupier tax rates are not applicable, and the property tax is payable based on the residential tax rate. While we appreciate that she has reasons for not staying in her property, we regret that we are unable to accede to her request to reinstate the owner-occupier tax rates to the property.

I bought a property with an existing lease. Can I apply for owner-occupier tax rates after the lease ends and during the renovation period where the house is left empty?

You may apply for the owner-occupier tax rates via our digital service once your tenant moves out of your property, and you plan to move into the property. Please note that the owner-occupier tax rates applied to you or your spouse’s existing property will be withdrawn once the new application is approved. 

We have been trying hard to sell my deceased brother’s residential property, but we are unable to get a buyer. The previously owner-occupied property is currently vacant. Can IRAS continue to apply the lower owner-occupier tax rates for this property?

No. For residential properties held under deceased ownership, IRAS will extend the concessionary rates for a period of two years from date of the owner’s demise to allow some time for the property transfer/sale arrangements to be made before the non-owner-occupier residential tax rates are applied.

Our late brother’s property was rented out prior to his passing. As the tenancy has ended, can we apply for the owner-occupier tax rates?

No. As the owner-occupier tax rates were not applied on the residential property prior to the owner’s passing (i.e. the property was rented out or vacant), the concession is not applicable, and the property will continue to be taxed at the non-owner-occupier residential tax rates. Please arrange to have the property legally transferred to the beneficiaries. IRAS will review the OOTR based on the new owner’s eligibility.

I have been staying in my residential property since 2009 but I did not realise that I was paying the non-owner occupier residential tax rates. When I made a claim for owner-occupier tax rates (OOTR) in 2019, I was only allowed to claim OOTR from 2014. Can I appeal to apply the OOTR from 2009?

No. Under the Property Tax Act, any refunds of tax paid are limited to 5 preceding years from the year you submitted your OOTR application. This is to ensure finality of tax assessments between the Government and taxpayers. We are unable to accede to any appeals for further refunds beyond 5 back years. Please ensure that claims for OOTR are made on a timely basis, i.e. within 5 years of OOTR eligibility, to qualify for a full refund.  

I relocated overseas for work purpose. Can the owner-occupier tax rates (OOTR) still apply on my residential property which is my default residence in Singapore?

If you (the property owner) reside outside of Singapore temporarily for official or business purposes, OOTR can still be applied so long as your residential property is maintained as your home and is not rented out.

Reinstatement of owner-occupier tax rates

I have stopped renting out my property. Why it is still taxed at non-owner-occupier residential tax rates?

When the lease on your property ends and you have moved back into your home, you have to reapply for the owner-occupier tax rates for your property using ‘Apply/Withdraw for Owner-Occupier Tax Rates’ digital service.

I am living in my property and renting out rooms. Why are my owner-occupier tax rates withdrawn?

If the owner-occupier tax rates are withdrawn, you can apply for the reinstatement of the owner-occupier tax rates by writing to IRAS to confirm that you are still living in your property. You should also submit a copy of the tenancy agreement and/or approval letter from HDB on room rentals (if any).

While residing in my property, I have rented out 2 out of 3 rooms. Am I eligible for owner-occupier tax rates (OOTR)?

Yes. As long as you are residing in your property, OOTR will continue to be applicable. If the OOTR has been inadvertently withdrawn, please write in to us with a copy of your tenancy agreement in order for us to review the applicable tax rates for your property.

My previous lease ended on 5 Jul 2019 and the next tenancy commenced on 23 Sep 2019. Can I apply for owner-occupier tax rates between 5 Jul 2019 and 23 Sep 2019?

If you have reoccupied your property after 5 Jul 2019, please use our 'Apply/Withdraw for Owner-Occupier Tax Rates' digital service to apply for the owner-occupier tax rates from the date of reoccupation. If your property was vacant pending the next tenancy, property tax is still payable based on the non-owner-occupier residential tax rates during the vacant period.

Cessation of owner-occupier tax rates

When does owner-occupier tax rates cease to apply?

Owner-occupier tax rates are withdrawn if you move out of the property. Please notify us to withdraw the owner-occupier tax rates by using our 'Apply/Withdraw for Owner-Occupier Tax Rates' digital service to avoid any penalty for late or non-notification.