I was let go from my job about a month ago and I now received a SMS to my SG number phone saying that my giro for paying taxes had been canceled and I that my outstanding tax was to be paid in 7 days. When I left Singapore, I was not told that there was any tax to clear and I was let through customs with a smile from the officer.
The fact is that my employer did not withhold any salary for any amount of time but paid out my final salary in full. I was under the impression that the employer is liable to inform IRAS and pay the tax settlement upon canceling the EP and/or terminating the employment contract?
MOM website reads that it is Form IR21 that the employer is liable to file.
https://www.iras.gov.sg/irashome/Busine ... Employees/
What would be your advice on this?
1) Who is now liable to pay since the employer in this case has been negligent?
2) What would the IRAS say about this?
3) Is the employer in risk of being fined for this if I report it?
Any other advice would be appreciated.
Thanks
SINGAPORE EXPATS FORUM
Singapore Expat Forum and Message Board for Expats in Singapore & Expatriates Relocating to Singapore
Tax settlement upon leaving Singapore
-
- Newbie
- Posts: 3
- Joined: Tue, 21 Aug 2018 10:54 am
Tax settlement upon leaving Singapore
Last edited by expatnumber83 on Tue, 25 Sep 2018 10:01 pm, edited 1 time in total.
Re: Tax settlement upon leaving Singapore
1. You
2. Nothing - that's IRAS.
3. Possibly.
2. Nothing - that's IRAS.
3. Possibly.
I not lawyer/teacher/CPA.
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!
You've been arrested? Law Society of Singapore can provide referrals.
You want an International School job? School website or http://www.ISS.edu
Your rugrat needs a School? Avoid for profit schools
You need Tax advice? Ask a CPA
You ran away without doing NS? Shame on you!
Re: Tax settlement upon leaving Singapore
I am surprised, in fact stunned, by OP’s question of whether that the employer is liable for the individual income tax of an employee....
Sent from my iPhone using Tapatalk
Sent from my iPhone using Tapatalk
- sundaymorningstaple
- Moderator
- Posts: 39876
- Joined: Thu, 11 Nov 2004 1:26 pm
- Location: Retired on the Little Red Dot
Re: Tax settlement upon leaving Singapore
You shouldn't be.
Have you ever had to fill out an IR-21? On of the questions that is asked on the first page at the bottom before you employer even states the employee's earning for the year is if the company pays their taxes or does the employee pay it or does the employer pay a portion of it. This is because if that is so, the IRAS will use the circular mathematical method to calculate their tax liability on the taxes (as the taxes becomes income to the employee and therefore needs to be taxed as well) until it small enough that the tax cents are rounded down to $0.00.
This is what it looks like, can I ask you what it feels like?
Have you ever had to fill out an IR-21? On of the questions that is asked on the first page at the bottom before you employer even states the employee's earning for the year is if the company pays their taxes or does the employee pay it or does the employer pay a portion of it. This is because if that is so, the IRAS will use the circular mathematical method to calculate their tax liability on the taxes (as the taxes becomes income to the employee and therefore needs to be taxed as well) until it small enough that the tax cents are rounded down to $0.00.
This is what it looks like, can I ask you what it feels like?


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
Re: Tax settlement upon leaving Singapore
OP has been paying his/her own tax on Giro. And he/she asks that since he/she was let go, the employer should then inform him/her and MOM outstanding tax settlement, failing of which should make the company liable to pay the remaining unpaid portion of tax...sundaymorningstaple wrote:You shouldn't be.
Have you ever had to fill out an IR-21? On of the questions that is asked on the first page at the bottom before you employer even states the employee's earning for the year is if the company pays their taxes or does the employee pay it or does the employer pay a portion of it. This is because if that is so, the IRAS will use the circular mathematical method to calculate their tax liability on the taxes (as the taxes becomes income to the employee and therefore needs to be taxed as well) until it small enough that the tax cents are rounded down to $0.00.
This is what it looks like, can I ask you what it feels like?![]()
![]()
Sent from my iPhone using Tapatalk
- sundaymorningstaple
- Moderator
- Posts: 39876
- Joined: Thu, 11 Nov 2004 1:26 pm
- Location: Retired on the Little Red Dot
Re: Tax settlement upon leaving Singapore
Still wrong. Regardless. Whether the company did or didn't pay, the obligation is still on the taxpayer to pay his outstanding taxes. He should have gone to or called up IRAS to find out or at least logged into his online account at IRAS with his SingPass, if he had one. They would be able to tell him immediately whether he owed money or not. ICA is not IRAS. Unless IRAS had flagged his FIN number ICA wouldn't know if he had outstanding taxes or not and wouldn't have any real reason to check either. However, he should well have known that he would still have received a final tax assessment to ensure clearance had been done. The obligation rest with the taxpayer to ensure his taxes are paid. So yes, he still owes the taxes and it would be in his best interest to pay them if he is entertaining thoughts of possibly returning here in the future.
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
- sundaymorningstaple
- Moderator
- Posts: 39876
- Joined: Thu, 11 Nov 2004 1:26 pm
- Location: Retired on the Little Red Dot
Re: Tax settlement upon leaving Singapore
However, yes, IRAS can fine the employer for not timely filing the IR-21. The fine is $1000.
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
-
- Similar Topics
- Replies
- Views
- Last post
-
-
Leaving Singapore - Tax Due...
by fac201 » Tue, 30 Jul 2019 10:25 pm » in Careers & Jobs in Singapore - 4 Replies
- 1630 Views
-
Last post by The Ref
Wed, 31 Jul 2019 2:17 pm
-
-
-
LTVP+ for husband upon return to Singapore.
by Has12cake » Thu, 16 May 2019 8:13 pm » in PR, Citizenship, Passes & Visas for Foreigners - 0 Replies
- 1118 Views
-
Last post by Has12cake
Thu, 16 May 2019 8:13 pm
-
-
- 31 Replies
- 10273 Views
-
Last post by Hazeyyeo
Sat, 27 Nov 2021 9:11 am
-
-
Tax resident and double tax for working remotely in Singapore
by Yuk » Tue, 26 Oct 2021 8:51 am » in Business in Singapore - 9 Replies
- 4236 Views
-
Last post by sundaymorningstaple
Tue, 15 Feb 2022 6:39 pm
-
-
- 1 Replies
- 2639 Views
-
Last post by PNGMK
Wed, 29 Aug 2018 8:45 pm
Who is online
Users browsing this forum: No registered users and 1 guest