Income Tax

[airpiratehkg]

Hello, I may be transfered to Singapore on an epat package. I realize that I will have to pay Singapore income tax. I have been told that after 3 years this tax increases significantly. Is this a true statement?

[sundaymorningstaple]

Absolutely not.

I think you are being confused with CPF contributions (retirement) which both you and your employer pay but for the first two years at a greatly reduced rate. (the second year it is at a level between the first year and the full amount.

However, if you are an Employment Pass Holder or Work Permit holder then you are not allowed to contribute to CPF. If you are a PR or a Citizen then you must by law. This is not Income Tax at all. See the following for more information:

http://www.iras.gov.sg/ESVPortal/iit/ii ... ployee.asp

http://www.iras.gov.sg/ESVPortal/iit/ii ... iduals.asp

sms