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Resign within 180 days, do I need to pay tax to MoM?

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samzijen
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Resign within 180 days, do I need to pay tax to MoM?

Postby samzijen » Thu, 25 May 2017 12:47 pm

Hi guys,

I am just resigned from a company with less than 180 days serving period. Do I need to pay something like tax or MoM will penalize me if I'm unable to get another job within the next 30 days after my resignation?

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ecureilx
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Re: Resign within 180 days, do I need to pay tax to MoM?

Postby ecureilx » Thu, 25 May 2017 1:30 pm

samzijen wrote:Hi guys,

I am just resigned from a company with less than 180 days serving period. Do I need to pay something like tax or MoM will penalize me if I'm unable to get another job within the next 30 days after my resignation?


You need to pay your tax, IR 21, upon ceasing employment. Unless your employer was lax or kind to not force you to settle tax, before releasing the last month pay.

You most likely, wont be penalised by MOM, but not paying tax is a criminal offense = prison.

What's your next question ?

samzijen
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Re: Resign within 180 days, do I need to pay tax to MoM?

Postby samzijen » Thu, 25 May 2017 1:35 pm

ecureilx wrote:
samzijen wrote:Hi guys,

I am just resigned from a company with less than 180 days serving period. Do I need to pay something like tax or MoM will penalize me if I'm unable to get another job within the next 30 days after my resignation?


You need to pay your tax, IR 21, upon ceasing employment. Unless your employer was lax or kind to not force you to settle tax, before releasing the last month pay.

You most likely, wont be penalised by MOM, but not paying tax is a criminal offense = prison.

What's your next question ?


FYI I am from Malaysia and that was the first job I've had in Singapore. My employment service with that particular company was basically just 1 month, and upon resignation, the company didn't force or mentioned anything regarding tax issue. They just pro-rated pay me the salary based on my basic salary.

Is it a need for me to contact MOM to clarify the situation? Thank you.

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ecureilx
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Re: Resign within 180 days, do I need to pay tax to MoM?

Postby ecureilx » Thu, 25 May 2017 2:25 pm

samzijen wrote:FYI I am from Malaysia and that was the first job I've had in Singapore. My employment service with that particular company was basically just 1 month, and upon resignation, the company didn't force or mentioned anything regarding tax issue. They just pro-rated pay me the salary based on my basic salary.

Is it a need for me to contact MOM to clarify the situation? Thank you.


No need to contact MOM.

If you worked in Singapore on a work pass, and got paid in Singapore, your employer must do this :

https://www.iras.gov.sg/IRASHome/Busine ... es--IR21-/

samzijen
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Re: Resign within 180 days, do I need to pay tax to MoM?

Postby samzijen » Thu, 25 May 2017 3:30 pm

ecureilx wrote:
samzijen wrote:FYI I am from Malaysia and that was the first job I've had in Singapore. My employment service with that particular company was basically just 1 month, and upon resignation, the company didn't force or mentioned anything regarding tax issue. They just pro-rated pay me the salary based on my basic salary.

Is it a need for me to contact MOM to clarify the situation? Thank you.


No need to contact MOM.

If you worked in Singapore on a work pass, and got paid in Singapore, your employer must do this :

https://www.iras.gov.sg/IRASHome/Busine ... es--IR21-/



I'm not really sure did they proceed with the procedure or not? So how do I confirm with that?

What should I do for the next step then? Thanks.

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ecureilx
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Re: Resign within 180 days, do I need to pay tax to MoM?

Postby ecureilx » Thu, 25 May 2017 3:48 pm

samzijen wrote:
ecureilx wrote:
samzijen wrote:FYI I am from Malaysia and that was the first job I've had in Singapore. My employment service with that particular company was basically just 1 month, and upon resignation, the company didn't force or mentioned anything regarding tax issue. They just pro-rated pay me the salary based on my basic salary.

Is it a need for me to contact MOM to clarify the situation? Thank you.


No need to contact MOM.

If you worked in Singapore on a work pass, and got paid in Singapore, your employer must do this :

https://www.iras.gov.sg/IRASHome/Busine ... es--IR21-/



I'm not really sure did they proceed with the procedure or not? So how do I confirm with that?

What should I do for the next step then? Thanks.


IR 21 is a two way process.

Employer must submit the last pay info to IRAS for IRAS to calculate if you owe them any money, from what I know, less than 30 days, you MAY not have to pay tax.

Once the above is done, IRAS will give clearance.

If your employer is big and decided you will not have to pay tax, they still must issue IR21 to you.

Failing which a) employer may be penalised and b) you too may be penalised.

If you want to work in Singapore in the future, please try to get this fixed


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