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paying taxes in Singapore

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fkoelbl
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paying taxes in Singapore

Postby fkoelbl » Mon, 07 May 2007 8:35 pm

Hi,
we will be in Singapore for about 7 month. I was told that normally we have to pay taxes if we are in Singapore longer than 182 days, but for us it would be easier to pay taxes at home. Now we are planning to leave Singapore for a while. Can anyone tell me how long we have to be outside of the country?
Thanks for your advise

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sundaymorningstaple
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Postby sundaymorningstaple » Mon, 07 May 2007 11:31 pm

If you are in Singapore for more than 183 days you will pay taxes at the local resident graduated rates. If you are in Singapore more than 60 days but less than 183 days you will be required to pay taxes at a fixed rate of 15% of your total salary without regard to deductions of any kind.

I would suggest you stick around for a while.

Foreigners working in Singapore

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Makan24-7
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Postby Makan24-7 » Sat, 12 May 2007 3:59 pm

SMS - does the IRAS religiously check with immigration services on the actual number of days EP P1 holders are in Singapore?

It's my first year in Singapore and yeah, the difference is very, very big between the 15% and local resident rates. At this rate, I will probably be in Singapore about 170-190 days this year.

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sundaymorningstaple
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Postby sundaymorningstaple » Sat, 12 May 2007 6:11 pm

From what I can see, you may well be able to forgo that worry but I cannot find it specifically in writing. IRAS does say that if you are here for 3 consecutive years you will be taxed at resident rates even if here less than 183 in the 1 & 3rd years.

Without calling them, I would assume that you have to make that decision based on your own knowledge at tax time. If you are here for a two year contract that spans 3 consecutive years like from 1/7/07 to 30/6/09 then I would say you would file as a resident when filing your tax return for YA2008 and you would only have to worry about it when leaving Singapore either upon finishing your contract or terminating your contract. If you are leaving your employer must file an IR21 Tax Clearance where your date of arrival & dates of cessation are all listed both for the current year and the previous year. Once this is filed, if you don't qualify as a resident (think terminated contract) you would be assessed the difference more than likely.

http://www.iras.gov.sg/ESVPortal/employ ... nce.asp#Q7

Clear as mud yeah?

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Makan24-7
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Postby Makan24-7 » Tue, 15 May 2007 1:21 am

SMS - thanks a bunch. it's actually crystal clear.... haha, i'll work something out without landing in the slammer..


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