Tax facts: Personal income tax

Skip to content
Skip to navigation

Our office will be closed from 24 Dec 2024 to 1 Jan 2025. We will return on 2 Jan 2025.

Global site
Africa
Americas
Asia Pacific
Europe
Middle East

Services

Whether you’re legally obligated to undertake an audit or it is part of your best practice procedures or a milestone to pursue your strategic ambitions – no...

See Overview

Accounting Advisory
Our accounting advisory team help businesses meet their complex financial reporting requirements. The team can support in applying new financial reporting standards, IFRS/ US GAAP conversions, financial statement preparation, consolidation and more.

Business Process Outsourcing

Our business process outsourcing team can provide accounting and payroll services to help you reduce costs, improve efficiencies and, in many cases, ensure...

See Overview

Payroll
Our team can handle your payroll processing needs to help you reduce cost and saves time so that you can focus on your core competencies
Managed accounting and bookkeeping
Outsourcing the financial reporting function is a growing trend among middle market and startup companies, as it provides a cost-effective way to improve the finance and accounting function. Our team can help with financial statement preparation, consolidation and technical on-call advisory.

Business Risk

In today’s fast changing risk and regulatory landscape, it is imperative that organisations adapt to changes and make risk-informed strategic choices. At Grant...

See Overview

Corporate Finance

Our corporate finance team helps companies with capital raising, mergers and acquisitions, private equity, strategic joint ventures, special situations and...

See Overview

Corporate Secretarial Services

Our team brings in-depth knowledge of both business and regulatory environment to ensure compliance with regulatory requirements, and to advise on corporate...

See Overview

CFO Services

Our CFO services team helps CFOs in defining business strategy, mitigating risks and mentoring the leadership.

See Overview

Accounting Advisory
Our team helps companies keep up with changes to international and domestic financial reporting standards so that they have the right accounting policies and operating models to prevent unexpected surprises.
Crypto Accounting Advisory Service
Our team can help you explore appropriate accounting treatment for accounting for holdings in cryptocurrencies, issuance of cryptocurrencies and other crypto/blockchain related accounting issues.
ESG Reporting and Accounting
As part of our ESG and Sustainability Services, our team will work with you on various aspects of ESG accounting and ESG reporting so that your business can be pursue a sustainable future.
Expected Credit Loss
Our team of ECL modelling specialists combine help clients implement provisioning methodology and processes which are right for them.
Finance Transformation
Our Finance Transformation services are designed to challenge the status quo and enable your finance team to play a more strategic role in the organisation.
Managed Accounting and Bookkeeping Services
Outsourcing the financial reporting function is a growing trend among middle market and startup companies, as it provides a cost-effective way to improve the finance and accounting function. Our team can help with financial statement preparation, consolidation and technical on-call advisory.

Cyber

Our cyber team help organisations navigate a threat landscsape that is constantly changing, to maintain resiliency and provide support during worst case...

See Overview

Deals Advisory

Whether you’re buying or selling, refinancing or raising money through the capital markets, our team comes in to help you conduct thorough due diligence on the...

See Overview

Business Tax Advisory
Our business tax team can help you navigate the international tax landscape, grow through mergers and acquisitions, or plan an exit strategy.
Corporate Finance
Our corporate finance team helps companies with capital raising, mergers and acquisitions, private equity, strategic joint ventures, special situations and more.
Financial Due Diligence
From exploring the strategic options available to businesses and shareholders through to advising and project managing the chosen solution, our team provide a truly integrated offering
Valuations
Our valuation specialists blend technical expertise with a pragmatic outlook to deliver support in financial reporting, transactions, restructuring, and disputes.

Related insights:

Mergers & Acquisitions Reducing risk in cross-border transactions

Cross-border merger and acquisition opportunities are increasing as healthy company financials in many economies drive an appetite for deals.

15 Jan 2018

ESG and Sustainability Services

Our environmental, social and governance (ESG) and sustainability team provide end-to-end solutions that help organisations no matter where they are on their...

See Overview

Sustainability with the ARC framework
Backed by the CTC Grant, businesses can tap on the ARC Framework to gain access to sustainability internally, transform business processes, redefine job roles for workers, and enhance productivity. Companies can leverage this grant to drive workforce and enterprise transformation.

Related insights:

Sustainability Navigating the Carbon Border Adjustment Mechanism (CBAM) and its impacts on global trade

The European Union (EU) stepped up in 2021 and unveiled the Carbon Border Adjustment Mechanism (CBAM) where fees are charged on carbon footprint of certain imports. This aims to curb emissions, level the playing field, and unlock opportunities for innovation and a greener future.

Anne Liew

| 8 min read | 16 Apr 2024

Forensic Advisory

Investigations can range from complex, multi-jurisdictional assignments to the investigation of alleged employee fraud and due diligence of third parties. We...

See Overview

Restructuring and Insolvency

We help companies identify and resolve issues affecting profitability, protect enterprise value and facilitate a full recovery where possible.

See Overview

Tax

We use a combination of reason and instinct based on our experience and local insights as we work with you to develop strategies that help you to understand...

See Overview

Business Tax Advisory
Our business tax team can help you navigate the international tax landscape, grow through mergers and acquisitions, or plan an exit strategy.
Corporate Tax Compliance
Our corporate tax teams prepare corporate tax files and ruling requests, support you with deferrals, accounting procedures and realise tax benefits.
Tax Governance
Our Tax Governance Services are designed to assist organisations in establishing effective tax governance practices, enabling them to navigate the intricate tax environment with confidence.
Goods and Services Tax
Our GST team supports organisations throughout the entire business life-cycle. We can help with GST registration, compliance, risk management, scheme renewals, transaction advisory and more.
Transfer Pricing
Our Transfer Pricing team advises clients on their transfer pricing matters on and end-to-end basis right from the designing of policies, to assistance with annual compliance and assistance with defense against the claims of competing tax authorities.
Employer Solutions
Our Employer Solutions team helps businesses remain compliant in Singapore as well as globally as a result of their employees' movements. From running local payroll, to implementing a global equity reward scheme or even advising on the structure of employees’ cross-border travel.
Private Client Services
Our private client services team provides a comprehensive cross section of advisory services to high net worth individuals and corporate executives, allowing such individuals to concentrate on their business interests.

Valuations

Measuring value in financial reporting, legal disputes or looking at acquisitions or investments brings a high level of clarity and confidence to business...

See Overview

Careers

Careers at Grant Thornton

See Overview

Students and Graduates

See Overview

Our culture

Learn more about our culture and how we enable you to thrive

See Overview

Welfare and benefits
We believe that a thriving team is one where each individual feels valued, fulfilled, and empowered to achieve their best. Our welfare and benefits aim to care for your wellbeing both professionally and personally.
Career development
We want to help our people learn and grow in the right direction. We seek to provide each individual with the right opportunities and support to enable them to achieve their best.

Experienced hires

See Overview

Current vacancies

See Overview

Individuals (residents and non-resident), whether citizens or noncitizens, are liable to income tax in respect of income accruing in or derived from Singapore.

For a partner in a partnership in Singapore, foreign sourced income can be exempt from tax if certain conditions are met. Other foreign sourced income received by an individual in Singapore from outside the country is exempt from tax.

Taxable income includes

profits from trade, business or profession
earnings from employment in Singapore
dividends, interest or discounts
pensions, charges or annuities
rent, royalties, premiums and other profits arising from property
any gains or profits of an income nature not covered by the above.

Residence

An individual is treated as a resident for Singapore tax purposes if he normally resides in Singapore except for temporary absences; or if he is physically present or exercises an employment in Singapore (other than as a director of a company) for 183 days or more in a calendar year.

Income tax rates applicable to resident individuals from YA2024

	Chargeable income (SGD)	Tax rate (%)	Tax payable (SGD)
On the first	20,000	0	0
On the next	10,000	2	200
On the next	10,000	3.5	350
On the next	40,000	7	2,800
On the next	40,000	11.5	4,600
On the next	40,000	15	6,000
On the next	40,000	18	7,200
On the next	40,000	19	7,600
On the next	40,000	19.5	7,800
On the next	40,000	20	8,000
On the next	180,000	22	39,600
On the next	500,000	23	115,000
In excess of	1,000,000	24

Personal reliefs for resident individuals

The total personal income tax relief that individuals can claim is capped at $80,000.

Earned Income	Standard (max)	Handicapped (max)
Below 55 years old	$1,000	$4,000
55 to 59	$6,000	$10,000
60 and above	$8,000	$12,000
Spouse relief	$2,000	$5,500
Qualifying child relief (per child)	$4,000	$7,500

Other reliefs
CPF Relief for Self-Employed	Capped at $37,740 or 37% of assessable trade income whichever is lower
CPF Cash Top-up Relief (self, spouse, sibling, parent, grandparent)	$7,000 (max for YA2023) $8,000 (max for YA2024)
Course Fee Relief	$5,500 (max)
CPF Relief for Employees	$20,400 (max)
Foreign Domestic Worker Levy Relief	$10,800 (normal max) / $1,440 (concessionary max)
Life Insurance Relief	$5,000 (max)

Supplementary retirement scheme
Foreigners	$35,700 (max)
Singaporeans and Singapore permanent residents	$15,300 (max)

Working Mother’s Child Relief (WMCR)	% of mother’s earned income
First child	15%
Second child	20%
Third child and beyond	25%
Maximum cumulative WMCR	100%
Maximum relief per child inclusive of child/handicapped child relief	$50,000

WMCR will be changed from a percentage of an eligible working mother’s annual income to a fixed dollar tax relief from YA2025.

NSman	Non-key appointment holder	Key appointment holder
Active NSman	$3,000	$5,000
Non-active NSman	$1,500	$3,500
Wife/widow/parent of NSman	$750	$750

Family based reliefs	Standard (max)	Handicapped (max)
Parent not living in the same household	$5,500	$10,000
Parent living in the same household	$9,000	$14,000
Grandparent caregiver relief		$3,000
Dependent handicapped sibling relief		$5,500

Non-resident individuals (employees only)

Income from an employment exercised in Singapore which do not exceed 60 days in aggregate in a calendar year is exempt from tax. This does not apply to professional entertainers, individuals exercising a profession and non-resident directors of Singapore resident companies
Income from an employment exercised in Singapore for more than 60 days by an employee who does not become tax resident in Singapore in that tax year is taxed at 15% or the tax that would be payable by a tax resident on the same emoluments, whichever is higher
Non-resident individuals spending between 61 and 182 days and are tax resident in a country which has a double taxation agreement with Singapore may also be able to claim exemption or relief under the double taxation agreement if certain conditions are met
Non-resident directors of Singapore resident companies who are here for less than an aggregate period of 183 days in a calendar year are assessable to tax at a flat rate of 24% on any director’s remuneration received. The payor has an obligation to withhold this tax at source
Interest income from deposits in approved banks in Singapore is not taxable. As noted above, interest income received in Singapore from outside Singapore is tax exempt if received directly by the individual

An employee can be treated (by concession) as tax resident from the day he arrives in Singapore to take up employment, even where the period spent in the calendar year of arrival is less than 183 days, provided that first period forms part of a continuous employment period of at least 183 days which straddles into the next calendar year.

Non-resident individuals are not entitled to any personal reliefs.

Withholding tax rates applicable to non-resident individuals

Taxpayer	Tax rate
Non-resident employee (excluding non-executive directors)	15% or resident rates, whichever is higher
Non-resident partner, non-executive director, sole proprietor, professional	15% gross / 24% net income
Non-resident public entertainer/athlete	15%

Tax filings and due dates

For employment income and other taxable income, the basis year is the prior calendar year. ie for YA 2024, this would report calendar year 2023 residence status, calendar year 2023 employment earnings and any selfemployment income for the basis year ended in calendar year 2023.

The statutory deadline for filing an employee’s individual tax return is 15 April (if paper filing) or 18 April (if e-filing) of the year following the YA. This can be extended to 30 June if a bulk extension is applied for by a tax agent, and is approved by the IRAS.

Tax assessed has to be paid within a month from the date of the Notice of Assessment, unless the taxpayer has applied for and is allowed to pay by installment through GIRO.

For individuals who file late, the IRAS may issue an estimated Notice of Assessment, require you to pay a composition amount of up to $5,000 or summon you to court.

A late payment penalty of five percent of the tax due is applicable if the tax is not paid by the due date. An additional one percent is added for every subsequent month that the tax remains unpaid, up to a maximum of 12% of the unpaid tax.

An individual is also likely to be prevented from leaving Singapore until outstanding taxes have been settled. The IRAS may also appoint agents to collect the tax (e.g. bank, employer etc) or take legal action against the individual. This list is not exhaustive.

Area Representatives

An Area Representative is usually an employee of a foreign enterprise who operates from a base in Singapore (e.g. a Representative Office). Such an employee is normally required to perform his duties on a regional basis and is based in Singapore for convenience and whose costs are not directly or indirectly charged to a permanent establishment in Singapore. The tax liability of such an employee is, generally, computed on the basis of time spent in Singapore.

For YA2024 onwards, individuals must primarily perform their duties outside of Singapore.

Not Ordinarily Resident Taxpayer (NOR) Scheme

This scheme was available to individuals who are not ordinarily resident in Singapore and who have an annual Singapore employment income of at least $160,000. The Not Ordinarily Resident Taxpayer (NOR) scheme lapsed in YA 2020.

Employees who arrived to take up employment in Singapore in 2019 are the last batch that could qualify for the scheme. The last NOR status for these individuals is for the five years from YA 2020 to YA 2024 inclusive, if they qualified for the scheme.

The only similar relief available is the Area Representative Scheme. Therefore, individuals now working in Singapore who travel overseas for work will be fully taxed on income that is related to their overseas workdays under domestic Singapore tax legislation, where these duties are incidental to their Singapore employment.

Where the overseas country that they travel to also wishes to tax the individual, tax relief under a double taxation agreement or under the unilateral foreign tax credit rules can be considered.