Singapore tax for EP holder non-resident

The Singapore income tax rate for non-residents is a flat 15% with no reliefs or deductions whatsoever.

Thanks Beppi

Will I have to include the hotels and the meals allowance in top of my monthly salary?

I read on iras website, if I use the 15% I will have to include the company spending on my accommodations, meals etc while the 20% is only to monthly salary

Any insight or experience on this?

Many many thanks

I haven't heard of a 20% tax rate. The non-resident (flat) rate is 15%.
The cost of accommodation and food is also taxable.
Contact IRAS to confirm and ask further questions.

Ouch, pain...the accommodation per month easily more than the salary itself

Thanks

As a EP holder, you will be regarded as tax resident in Singapore.

Singapore tax is progressive for resident individuals. This means, it is based on which tax bracket your chargeable income falls under. Even at highest 20% tax bracket, your effective tax rate is possibly lower than 20%, due to the progressive rates.

Ultimately, it is lower than your home country, Indo. Better to look at overall tax position.

And taxable value of accomodation is only 10% of employment income, not the full annual rent paid by your Company. This is provided annual value of the property is higher, which is usually the case due to high rental value (note: annual value is assessed by iras based on estimate of rent the property can fetch, and this can be objected by property owner as it impacts their property tax). So, the tax on accomodation benefit is actually low, this is used for tax planning for my individual clients. However, year 2013 is the last year to tax on this concessionary rate.

As for allowances, taxable value is the sum due payable or paid to you, just like salary.

its pretty straight forward, but if you need me to calculate, PM me.

Hi just wanted to give update that might be useful for fellow EP holder that may have overseas posting or spend less the working days in SG. The tax i need to pay was below 4 percent! happy!

Hi,

Thanks for sharing, is Singapore tax departement send you the tax notice for the below 4% tax rate or you write to ask them? I am also under EP in Singapore but working overseas all the time, just got my tax assessment and worried about resident status, so, really appreciate your help.

You are responsible to send in your tax declaration by end of April (I think, please check the deadline!). There are stiff fines for late or not filing, so don't forget it!
Income for work overseas is not taxable in Singapore. This includes being sent abroad by your Singapore employer (except for shorter business trips, of course). This is regardless of residency status (and also, in fact, regardless of where and how the salary is paid).

Sygoy

You have a EP, so entire income as declared to MOM and as per your employment contract is taxable, even though you travel or working overseas most of the time. You may apply for NOR status but there are conditions to meet. Most of the time, NOR didnot save tax for my clients because there is a cap. Minimum tax is 10% of employment income. it will work if your singapore income is at a high bracket. Google on NOR (not ordinarily resident scheme). Better option is 90 days employment in Singapore, no Singapore tax. PM me if you want more info.

NOR is relevant only for high-earners who travel a lot in and out of Singapore (on business trips).
What I was talking about was being seconded by a Singapore employer to another country for several months. In that case the entire income for the period you worked overseas is non-taxable in Singapore (you may have to pay tax in the other country, though). In my case, a letter from the employer stating the details of the secondment was all that is needed to convince IRAS not to tax that portion of my pay. This was several years ago - the rules have not changed, but the procedure of getting there might have. Ask IRAS!

Hi Sygoy, below 4 percent that was the IRAS asked me to pay. I already paid and got the receipt. Good luck.

Non-resident individuals are subject to tax on all Singapore-sourced income unless the income is exempt from tax, such as income from a deposit in an approved Singapore bank. Foreign income received in Singapore by a non-resident individual is exempted from tax. The income of a non-resident individual in Singapore is taxed at: 15% on the gross amount (without any deduction for personal reliefs and contribution to provident funds); or, resident rates whichever is higher.

I started to work in singapore 04.11.2014. I am planning to leave singapore 31.08.2015.
My basic salary is 4800 SGD per month. No deductions or no other allowances.
what would be my income tax amount
am i  a resident or non resident for tax purposes, because i have a worked in singapore less than 183 days in last year(just 56 days). Please help me to calculate my tax amount.

Thank you