Capital gains tax on property investment

[Sinvestor]

Capital gains tax was abolished in Singapore a few years ago.
I was therefore surprised to hear from a friend that a property sold before TOP may incur capital gains tax. I invested in several residential properties before retiring last year and may sell one of them this year, rest will be rented out. When consulting IRAS’ website, there is limited information on this issue. An accountant say I should incorporate, but it is difficult to see cost/tax benefits.
Can anyone shed light on the capital gains tax issue, or suggest an accountant or website please?

[yoongf]

Generally, capital gains from property sale is not taxable. However, if a person has no other jobs, and transect a few deals in a year, IRAS will then deem the person to be a property trader, and thus, then the act of buying and selling is not considered capital gains, but trading income, which it taxable.

This is the IRAS website on this issue.

http://www.iras.gov.sg/irasHome/page03.aspx?id=152

[Sinvestor]

Thanks. I have consulted the website, but the capital gains tax issue is not described in great detail here. Do you have any other resources to suggest?

[yoongf]

I understand capital gains in other countries is a big topic, but
Taxation in Sg is relatively simple. Very few exemptions at the personal level.

It's much more interesting at the corporate level, thus the rationale why professionals wld recommend incorporation. How interesting it gets depends alot on the experiece of the tax professional.

[Sinvestor]

Kindly explain what you mean by "very few exemptions at the personal level" on the subject of capital gains tax.

[MikeDirnt]

Thanks. I have consulted the website, but the capital gains tax issue is not described in great detail here. Do you have any other resources to suggest?

i suggest you call or pay a visit to IRAS. that may solve your queries faster unless we have IRAS staff in this forum

[bruinbear]

There is no capital tax gains tax in Singapore as far as I'm aware. But I'm no expert.