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Tax issues with changing jobs

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cl@rett
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Tax issues with changing jobs

Postby cl@rett » Wed, 01 Apr 2015 4:15 pm

I would appreciate any guidance the community can provide on the following topic:

I currently work in Singapore on an EP, and am being recruited by another company for employment here. If that process is successful, I understand from other threads that it should be possible to manage the issuance of an EP under the new employer's name to allow relatively "seamless" transition without affecting my immigration status.

However, it is my understanding that termination of my current EP would result in a tax clearance obligation. Does that still exist if I am immediately issued an EP under a new employer? So, if I am currently paying my tax through a GIRO agreement, would I have to make a lump sum to clear that and then reset to zero, like when I first arrived here, or is it possible to continue the GIRO arrangement so that there is no one-time payment required along with the job shift.

Thanks in advance for your thoughts.

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the lynx
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Re: Tax issues with changing jobs

Postby the lynx » Wed, 01 Apr 2015 4:22 pm

cl@rett wrote:I would appreciate any guidance the community can provide on the following topic:

I currently work in Singapore on an EP, and am being recruited by another company for employment here. If that process is successful, I understand from other threads that it should be possible to manage the issuance of an EP under the new employer's name to allow relatively "seamless" transition without affecting my immigration status.

However, it is my understanding that termination of my current EP would result in a tax clearance obligation. Does that still exist if I am immediately issued an EP under a new employer? So, if I am currently paying my tax through a GIRO agreement, would I have to make a lump sum to clear that and then reset to zero, like when I first arrived here, or is it possible to continue the GIRO arrangement so that there is no one-time payment required along with the job shift.

Thanks in advance for your thoughts.


Yes, upon your termination, your employer will submit IR21 form to inform IRAS about your employment status. Even though you already have another employment lined up, IRAS will still terminate your GIRO and will issue you tax notice for you to pay up the rest of it. Then your tax calendar starts at square one when you start your new employment.

The only thing I am not sure is if you only worked under 183 days and that you'll be taxed non-resident rate. I never worked for an employer for less than that before moving to new employment in my experience so I don't know.

BTW, on the other topic, yes, if you already lined up your IPA before you resign and your starting date doesn't clash with your notice period, it should be seamless.

cl@rett
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Re: Tax issues with changing jobs

Postby cl@rett » Wed, 01 Apr 2015 4:37 pm

Thanks "the lynx" - I expected that was the case.

Non-resident issue is not relevant in my case, because I've been in Singapore now for more than four years.

dooori
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Re: Tax issues with changing jobs

Postby dooori » Sun, 05 Apr 2015 9:32 pm

Hi I need to know some ways to find it job. I keep on posting my resume on websites. But not getting interview calls.pls tell me some reliable way of getting it job?
dolii

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Re: Tax issues with changing jobs

Postby sundaymorningstaple » Sun, 05 Apr 2015 9:54 pm

dooori wrote:Hi I need to know some ways to find it job. I keep on posting my resume on websites. But not getting interview calls.pls tell me some reliable way of getting it job?


Maybe you are applying for positions beyond your reach or you just don't have high enough qualifications to be invited to the negotiation table. [-( Or maybe you job is one that, today, is easily filled by locals with similar qualifications?


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