Singapore Property Tax Guide
Singapore property tax is different for owner-occupied homes and non-owner occupied homes. It is a percentage of annual value of the property. To calculate annual value, rent of the property it would get, if it were rented out is taken as base. The property tax, for owner-occupied homes is in range of 0%-15% and for non-owner occupied homes it is in range of 10%-19%.
Singapore Property Tax All property in Singapore are subjected to Singapore property tax. This includes private properties, HDB flats, factories, offices and vacant land. The amount of property tax is a percentage of the annual value of the property. The annual value is based on the estimated yearly rent the property can fetch if it were to be rented out.
Property Tax Rates
The current property tax is 10% which is calculated on annual value of the property. However, the property tax is lower if the house is eligible to be taxed on owner occupied tax rates.
Prior to 1 Jan 2011, the tax rate was a flat rate of 4%. With effect from 1 Jan 2011, the progressive owner-occupier tax rates have replaced the flat 4% tax rate as follows:
|Annual Value (SG$)||Tax Rate (%)|
|Amount exceeding 65,000||6|
Computation of Tax Payable from 1 Jan 2011
|Annual Value (SG$)||Tax Rate (%)||Tax Amount (SG$)|
Amount exceeding 65,000
Property tax remains at a flat rate of 4% of Annual Value (AV) in 2010.
In 2011, however, a progressive property tax structure for owner-occupied residential properties have come into effect. From the table above, we can see that :
- 0% for the first SG$6,000 of AV;
- 4% for the next SG$59,000 of AV;
- 6% for the balance of AV in excess of SG$65,000.
Non-owner-occupied residential properties and other properties will continue to be subject to 10% property tax.
Property Tax Deadlines
Property taxes must be paid by 31 January each year. The Inland Revenue Authority of Singapore (IRAS) will compute the annual tax you need to pay and send you the bill in December. Instructions on how to pay property tax are also included in your bill. To fille your property tax accurately within the specified date, you can take the assistance of tax firm like SBS Consulting.
Rebates, Relief, Refunds
In order to help keep taxes affordable, encourage certain types of land development and meet business needs, the Government provides rebates, reliefs and refunds to property owners. For example, if your property has been continuously vacant for at least 30 days or 1 calendar month because of repairs or the inability to find a tenant, you can claim for a refund of property tax for that period.
Property Tax Exemptions
A building is exempt from property tax if it is used exclusively:
- As a public place of worship
- As a public school
- For charitable purposes
- For purposes that promote the social development of Singapore
How Property Tax is Computed
Property tax is computed as follows:
Property tax payable yearly = Annual Value x Tax Rate
Hence if the Annual Value is SG$24,000 and the tax rate is 10%,
Property Tax payable = SG$24,000 X 10% = SG$2,400 yearly
- The current tax rate is 10%. However, the property tax payable may be lower if you are eligible for owner occupier tax rates or any tax concession or relief.