All things considered, the first step to meeting your tax obligations is understanding precisely what constitutes taxable income in Singapore. You ought to know what’s taxable and what’s not before you even get to the applicable tax rates.
As such, allow us to walk you through all the types of taxable income in Singapore, as well as the corresponding categories that the IRAS (Inland Revenue Authority of Singapore) will exempt from your personal tax bill.
Generally, you can consider all the earnings generated from Singapore as taxable income. Every single dollar you make as a local or foreign worker is subject to income tax.
Non-taxable income, on the other hand, essentially refers to the money you make outside Singapore. The IRAS, as it turns out, tends to exempt overseas earnings from the personal tax bill.
Now, to expound further, “taxable income” refers to the following forms of income earned in Singapore:
Non-taxable income in Singapore includes:
As you begin reviewing where your income lies, feel free to contact Wealthbridge for more insights. Our dedicated tax experts will appraise your earnings accordingly, plus advise you on how best to file your taxes as a resident or non-resident. To learn more about our taxation services, click here.
If you are looking for other guides related to your personal income tax, then click our detailed guide here.