Singapore’s tax resident (tax resident) needs to complete the personal income tax declaration from January to December of the previous year during this period.
Individuals are taxed only on the income earned in Singapore. The income earned by individuals while working overseas is not subject to taxation barring a few exceptions.
Foreigner who has stayed/worked in Singapore (excludes director of a company) for 183 days or more in the year preceding the Year Assessment (YA).
Singapore personal income tax- key facts
Singapore personal tax rates start at 0% and are capped at 22% (above S$320,000) for residents and a flat rate of 15% to 22% for non-residents.
Tax deduction for 13 items
- Deduction on donations
You may able to claim tax deduction of 2.5/3 times the amount of donations made from 2014 to 2021. Applicable person including Singapore Residents, PR and work pass holder.
- Qualifying child relief
Your child was below 16 years old and did not have an annual income exceeding S$4000. The amount of relief is $4000 per child. For handicapped child relief, the amount of relief is $7500 per child.
- Grandparent caregiver relief
You are a working mother who is married, divorced or widowed. Also, your children who is a Singapore Citizen aged 12 and below in 2020 or unmarried handicapped children who is a Singapore Citizen in 2020.
You may claim $3000 on your parent, grandparent, parent-in-law or grandparent-in-law.
- Spouse Relief
Your spouse was living/supported by you and not have an annual income or not exceeding $4000. The amount for spouse relief is $2000 and for handicapped spouse relief is $5500.
If you are legally separated from your wife, you may claim this relief if you have made maintenance payments under a Court Order or Deed of Separation. Divorced taxpayers who pay alimony to their former spouses are not eligible to claim this relief.
- Handicapped brother or sister relief
The dependant was living with you in the same household in Singapore. If the dependant lived in a separate household in Singapore, you must have incurred $2,000 or more in supporting him/her.
You may claim $5,500 for each handicapped sibling or sibling-in-law.
- Foreign domestic worker levy (FDWL) relief
You may claim twice the total foreign domestic worker levy paid in the previous year on one foreign domestic worker. This is regardless of whether you or your husband paid the levy.
- Working Mother’s Child Relief (WMCR)
You are a working mother who is married, divorced or widowed. You have taxable earned income from employment or through pensions, trade or business, or through a profession or vocation.
|1st||15% of mother’s earned income|
|2nd||20% of mother’s earned income|
|3rd and beyond||25% of mother’s earned income|
- Parent relief/Handicapped parent relief
The dependant was living in your household in Singapore. The dependant was 55 years of age or above. The dependant is mentally and physically disabled for handicapped parent relief.
|Type of Parent Relief||Parent Relief||Handicapped Parent Relief|
|Taxpayer stays with dependant||$9,000 per dependant||$14,000 per dependant|
|Taxpayer does not stay with dependant||$5,500 per dependant||$10,000 per dependant|
- Course Fees Relief
Any course of study, seminar or conference in 2020 for the purpose of gaining an approved academic, professional or vocational qualification.
You may claim the actual course fees incurred by yourself, up to a maximum of $5,500 each year regardless of the number of courses, seminars or conferences you have attended.
- NSman Relief (Self, Wife and Parent)
i. NSman Self Relief
- You must have completed your full time National Service under the Enlistment Act.
- You are deemed to have completed such service by the proper authority.
|Did you perform NS activities in the preceding year?||NSmen (General population)||NS key command and staff appointment holders|
ii. NSman Wife Relief
- You are a Singapore Citizen in the preceding year
- Your husband is eligible for NSman Self Relief.
- The amount of relief is $750.
iii. NSman Parent Relief
- You are a Singapore Citizen in the preceding year;
- Your child is eligible for NSman Self Relief; and
- Your child was born to you and your spouse/ex-spouse or your step-child or legally adopted child.
- The amount of relief for each parent is $750 regardless of the number of children who are NSmen.
- Life Insurance Relief
- Your total contributions for the following in 2020 was less than $5,000;
- compulsory employee CPF contribution;
- self-employed Medisave/voluntary CPF contribution; and
- voluntary cash contribution to your Medisave account.
– You paid insurance premiums in 2020 on your own life* insurance policy; and
– The insurance company must have an office or branch in Singapore if your policies are taken on or after 10 August 1973.
* For married men, if you have paid for your wife’s life insurance policy, you may also claim the insurance premiums paid.
- SRS contributions and tax relief
A voluntary scheme to encourage individuals to save for retirement, over and above their CPF savings. Contributions to SRS are eligible for tax relief. Investment returns are tax-free before withdrawal and only 50% of the withdrawals from SRS are taxable at retirement.
Because of the increase in monthly utility bills or network charges caused by working from home in 2020, the increased part can be waived.
For self-employed of the social entertainment, such as: inviting clients to eat work meals, drinking tea/coffee, small gifts, etc. can enable to tax deductions and exemptions.