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Non Submission of IR21

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vishi
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Non Submission of IR21

Post by vishi » Tue, 02 Dec 2014 2:46 pm

I am a resident Indian and had a contract for one year as a consultant with a company in Singapore.
My tax was deducted at source from India at the rate of 30.9%. However, I worked under this agreement for less than 183 days. After my resignation the company was to inform the tax authority about my departure which was an oversight/ or not done.

While in Singapore I had asked the Singapore tax authority to take tax from me but they replied that it needs to be done after 183 days of service or I will be assessed next year. Since they were not informed by the company they sent me a tax submission letter. I replied that i have left the country. To this they informed that in absence of IR21 form I am being sent this letter. After my last reply to the Singapore authority they did not write back to me. However again for the year 13-14 they raised a notice to the company seeking my tax details. In the mean time they are always mentioning that in absence of IR21 form we are connecting with you.

What is the appropiate course of action which i should take now ??

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sundaymorningstaple
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Re: Non Submission of IR21

Post by sundaymorningstaple » Tue, 02 Dec 2014 2:56 pm

Just bend over as they are going to stick it to you.

Pay the taxes due. I don't see what the problem is. You did a runner, your employer didn't pay the taxes on your behalf as required by law. There will be penalties and interest to pay, but you need to send them the information as to the total incomes received so that they can compute the taxes (if you were there less than 183 days, the you will be taxed at a flat rate of 15%) and the interest and penalties for late failing. Failing which, you may be flagged at ICA as a tax defaulter and not be allowed in the country or allowed in and picked up by the authorities. I'd suggest you "do the needful".
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

vishi
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Re: Non Submission of IR21

Post by vishi » Tue, 02 Dec 2014 3:29 pm

sundaymorningstaple wrote:Just bend over as they are going to stick it to you.

Pay the taxes due. I don't see what the problem is. You did a runner, your employer didn't pay the taxes on your behalf as required by law. There will be penalties and interest to pay, but you need to send them the information as to the total incomes received so that they can compute the taxes (if you were there less than 183 days, the you will be taxed at a flat rate of 15%) and the interest and penalties for late failing. Failing which, you may be flagged at ICA as a tax defaulter and not be allowed in the country or allowed in and picked up by the authorities. I'd suggest you "do the needful".


I understand that i was liable to pay 15% tax on my income. But it is the responsibility of employer to file IRS21 and clear any tax demand if any. Would i be liable to pay taxes,interest and penalty because of the failure of my Employer.

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sundaymorningstaple
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Re: Non Submission of IR21

Post by sundaymorningstaple » Tue, 02 Dec 2014 3:35 pm

Yes. It is still your tax liability. You should have ensured your taxes were cleared before you left Singapore. They would have possibly gotten a $1000 fine, but ultimately the tax liability is yours. You deliberately left Singapore without paying your taxes. You knew that tax clearance wasn't done and you left anyway. Therefore that makes you just as guilty as the employer, but it's still YOUR tax liability.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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ecureilx
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Re: Non Submission of IR21

Post by ecureilx » Tue, 02 Dec 2014 11:53 pm

sundaymorningstaple wrote:Yes. It is still your tax liability. You should have ensured your taxes were cleared before you left Singapore. They would have possibly gotten a $1000 fine, but ultimately the tax liability is yours. You deliberately left Singapore without paying your taxes. You knew that tax clearance wasn't done and you left anyway. Therefore that makes you just as guilty as the employer, but it's still YOUR tax liability.
+1

OP is trying to blame the employer...

I guess he doesn't have masters to read up on tax liability, in the IRAS site (pun intended)

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