Tax Services

Singapore has a territorial tax system whereby companies and individuals are taxed only on Singapore-sourced income and foreign income remitted into Singapore.

There is no capital gains or inheritance tax in Singapore and there are various tax rebates/reliefs for companies who meet IRAS’s qualifying criteria. Furthermore, Singapore currently has 60 comprehensive DTAs (Double Taxation Agreements) and 7 limited DTA1s in force.

Tax Services

Singapore has a territorial tax system whereby companies and individuals are taxed only on Singapore-sourced income and foreign income remitted into Singapore.

There is no capital gains or inheritance tax in Singapore and there are various tax rebates/reliefs for companies who meet IRAS’s qualifying criteria. Furthermore, Singapore currently has 60 comprehensive DTAs (Double Taxation Agreements) and 7 limited DTA1s in force.

Through the provisions of a DTA between Singapore and another jurisdiction, taxpayers engaged in cross-border businesses can benefit from the elimination of double taxation and may also enjoy reduction or exemption of tax on certain types of income. Your Singapore Company must be a Singapore tax resident to enjoy the full benefits of a DTA.

You may also be interested to note that some of the DTAs signed by Singapore have already been amended by the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting (BEPS)

  • Singapore Corporate Tax

    Singapore Corporate Tax

    The prevailing Singapore corporate tax rate is 17% on net taxable income. The Singapore tax year is 1 January to 31 December. For example: If your Company’s Financial Year End (FYE) is 31 March 2019 or 30 June 2019 or 31 December 2019, then your tax year of assessment is 2020 (YA2020) . From YA 2020 onwards, the tax exemption for newly set up qualifying Singapore companies, in the first 3 years (from date of incorporation) is as follows:

    Tax Exemption from YA 2020 onwards

    New companies:

    Chargeable income Tax exemption (%) Taxable income
    First $100,000 75 $25,000
    Next $100,000 50 $50,000

    Note: this exemption does not to the following new companies:

    • A company whose principal activity is that of investment holding; and
    • A company which undertakes property development for sale, for investment, or for both investment and sale.

    Singapore Companies:

    Chargeable income Tax exemption (%) Taxable income
    First $10,000 75 $2,500
    Next $190,000 50 $95,000

    Important datelines:

    There are 2 forms that you are required to file after every financial year:

    1. Estimated Chargeable Income (ECI)*
    2. Corporate Income Tax Form (Form C-S/C)

    *You will not be required to submit your ECI if your company’s ECI is nil and annual revenue is less than S$1 million.

    You will be required to file your ECI within 3 months of your company’s financial year. For Form C-S/C, you either file it manually or do an E-filing.

    Assuming your company’s financial year falls on 31 December every year, these are the datelines:

    Forms to be filed Datelines
    ECI (E-filing) 31st March
    Form C-S/C (manual filing) 30th November
    Form C-S/C (E-filing) 15th December

    Documents Required

    Before completing you form C-S/C, you should prepare your yearly tax computation.

    Together with form C, you will be required to submit your audited/unaudited accounts, tax computation, and supporting schedules.

    Together with form C-S, you will not be required to submit any additional documents. However, you are still required to prepare your tax computation, financial accounts and supporting schedules and submit to IRAS upon request.

    Should you have any problems in preparing the relevant forms and documents, please contact us and our tax compliance specialist will be happy to assist you.

    Tax Sevices

    At Easy2Incorporate, we provide annual tax return services which includes but not limited to the following accounting functions:

    • Preparation of Form C-S/C
    • Preparation of director’s report
    • Preparation of tax forms for corporate submission
    • Corporate tax computation
    • Payment and refunds of Corporate Tax

    Our tax specialist will also be able to guide you on the various tax planning ways to reduce your tax. If you would like to engage our services, please contact us and we will be happy to assist you.

  • Personal Tax

    Personal Tax

    All Singapore tax residences are required to file and pay tax regardless of citizenship. If you are a foreigner working in Singapore and is a tax resident, you will also be required to file and pay tax. Singapore income tax is based on a progressive tax rate, starting for 0% to the maximum of 22%.

    You will not need to file your income tax if:

    • Your annual income from the last calendar year is less than S$22,000 and/or
    • You have been selected for the No-Filing Service (NFS)

    Note: you will still need to file your income tax after being notified for the NSF if you have additional incomes.

    To check the income tax rates, please refer to IRAS.

    Tax Residency

    You will be considered a tax resident (excluding directors of a company, public entertainers or professionals) if you:

    1. Stay or worked in Singapore
      1. For at least 183 days in a calendar year; or
      2. Continuously for three consecutive years; or
    2. Worked in Singapore for a period straddling two calendar years and your total period of stay (including your physical presence immediately before and after your employment) is at least 183 days

    If you are issued with a work pass that is valid for at least one year, you will also be treated as a tax resident upfront.

    Foreigners that worked for less than 183 days will be considered as non-tax resident.

    Important Dates

    You can either file your income tax manually or through IRAS website. The dateline to file your income tax manually is on the 15 April while the dateline for E-filing is 18 April.

    If you would like to engage us to help you file your personal income tax, please contact us for a quote.

Got a Question? Contact our specialist!