Encouraging tax compliance

Taxpayers meet their tax obligations willingly and know how to comply.  We make this as easy as possible by simplifying filing requirements and payment arrangements, and providing reliable digital solutions.

Examples: Digital services and solutions such as seamless filing from software which translates to time savings, initiatives such as No-Filing Service and Direct Notice of Assessment where taxpayers have their income information automatically pre-filled based on data from employers and receive their finalised tax bills directly, and eGiro for faster and integrated payments. 

Taxpayers want to comply but lack knowledge, awareness, or means. Non-compliance is unintentional, often due to a lack of understanding.

We help by raising taxpayers’ awareness of tax requirements and providing clear, accurate and timely guidance to prevent unintentional non-compliance. For individuals and businesses in financial difficulties, we will work out suitable payment arrangements that consider their unique circumstances.

Examples: Targeted nudges and reminders, IRAS Bot for quick answers, educational seminars and outreach events, public communications and dialogues with tax agents and trade associations, simple digital services for taxpayers to request extended instalment plans. 

Taxpayers who can comply but do not prioritise meeting tax obligations; their behaviour typically shows disengagement, procrastination and repeated lapses. We seek to deter this group from making recurring mistakes and reform their behaviour through prompt enforcement actions. 

Examples: Timely imposition of penalties and recovery actions. Compliance programmes to detect and correct errors 

A minority of taxpayers intentionally choose not to comply i.e., cheat/evade tax, or exploit the system. Such behaviour is deliberate. IRAS will not hesitate to take strong actions (e.g., prosecutions and legal actions) against them and penalise such errant taxpayers. If you are aware that someone has evaded tax in Singapore, please contact us.

A simple tax system makes it easier for taxpayers to fulfil their tax obligations. IRAS actively influences the design of policies and tax laws, to ensure that tax rules and processes are clear and easy to comply with.

IRAS also continuously explores ways to move beyond simplification to more tailored and calibrated personalisation that proactively adapts to taxpayers’ situations and needs (e.g., business transitions, life events). 

When taxpayers clearly understand their tax obligations, they are more likely to take ownership of their tax affairs and comply responsibly. IRAS supports this through timely guidance across multiple service channels, and proactively surfacing relevant actions and matters that may require the taxpayer’s attention. Service delivery focuses on assurance, clarity, empathy and expertise ─ taxpayers are guided with clarity on what to do, what to expect next, with consequences of non-compliance communicated in a manner that is firm but respectful of their circumstances. This enables them to fulfil their obligations with greater ease while reinforcing personal responsibility over their tax matters. 

IRAS applies a graduated range of actions (from nudges to audits) to influence behaviour and deter potential non-compliance. Advanced analytics support risk profiling and case selection, enabling more precise and effective interventions. IRAS takes swift enforcement actions against those who deliberately ignore their tax obligations or flout tax laws. This will maintain society’s confidence in the fairness and sustainability of Singapore’s tax system.

Taxpaying is a shared social responsibility; each of us has a role to play in paying our fair share of taxes to fund vital government expenditures that benefit all of society. Working alongside trusted partners, we seek to build a community of taxpayers who not only understand and fulfil their tax obligations, but also advocate for responsible taxpaying behaviours and encourage others to contribute their fair share.