Information on Singapore Income Tax

[Pal]

Please read before posting

Information attached below:

• Useful Information
• Frequently Asked Questions (FAQs)
• Downloadable Forms
• Tax Treaties

http://www.iras.gov.sg/employees/emp_cover.htm
Please visit Inland Revenue Authority of Singapore for more information.

[sundaymorningstaple]

Here is the definitive answer regarding working from home for yourself, a foreign employer not resident in Singapore or and online business. It's all the same tax wise. It's taxable..

Dear SMS

Regardless of whether an individual is holding a work pass or dependent pass, he/she is subject to tax in Singapore if services / work is rendered in Singapore. Under Section 12(4) of Singapore Income Tax Act, all gains or profits from employment exercised in Singapore are deemed to be derived from Singapore. Thus, if the services of an employee are performed in Singapore, the employment income is treated as having a source in Singapore. This is regardless of where the contract is concluded, where the income is received, who the employer is, or where the employer is located.

As such, your mentioned employee's wife who is working for a company not registered in Singapore is subject to tax in Singapore. For more information on tax treatment of an employee employed by a foreign company not registered in Singapore, please visit our website at http://www.iras.gov.sg/irasHome/page.aspx?id=1192

If she is working in Singapore on the capacity as an independent professional, i.e. not an employee of a company, withholding tax may be applicable if she is a non-resident for tax purposes. For details, please refer to http://www.iras.gov.sg/irasHome/page.aspx?id=3462

She may contact us directly via email at [email protected] if she need further clarifications. Please advise her to provide us her FIN number shown in the dependent pass.

Thank you.


Yours sincerely

Yap-Tay Lee Imm (Mrs)
Senior Tax Officer
Foreigner & Clearance Branch
for Comptroller of Income Tax

[starspangledbanner]

if i'm on an EP, can you confirm my employer and I are not required to contribute to the CPF? should i theoretically get a higher salary to recognise this?

[sundaymorningstaple]

if i'm on an EP, can you confirm my employer and I are not required to contribute to the CPF? should i theoretically get a higher salary to recognise this?

Correct & no.

[princessb]

yes, EP holders not require to contribute CPF.

[sundaymorningstaple]

yes, EP holders not require to contribute CPF.

Once upon a time in the past, EP holders WERE required to contribute to CPF. This was back before 1995. On 1 Aug 1995, New Employment Pass holders were no longer required to pay into CPF. For existing employees on Employment Passes, they would continue to pay into the fund until their current work pass came up for renewal, at which time is stopped. I know. I've been here since 1982. However, those of us that paid into the fund back then were/are allowed to leave those contributions there even if they are no longer here or if their status has changed. They still continue to draw the same interest from the government as everybody else. The only difference between them and citizens, they can withdraw the whole lot any time they wish, unless over the years, they took up Citizenship. Then all CPF is under the rules for citizens.