Tax system in Singapore
Singapore taxes income that is accrued in or derived from Singapore, while foreign income received in Singapore is generally not taxable for individuals except in specific cases. Resident individuals pay progressive tax rates from 0% to 24%, and non-residents are generally taxed at 24% with a special 15% concession for non-resident employment income where it is higher than the resident computation.
The country does not levy a net wealth tax, inheritance tax or a general capital gains tax. Ordinary company dividends are tax-exempt in shareholders' hands under the one-tier system, while the practical planning work usually sits with GST at 9%, CPF payroll contributions, tax clearance for departing non-citizen employees, and company-level filing deadlines.
Tax rates at a glance
- Income tax
- 0% - 24%Progressive
- Wealth tax
- 0%
- Inheritance tax
- 0%
- Capital gains tax
- 0%
- Corporate tax
- 17%
- Dividend tax
- 0%
- GST
- 9%
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
Remote foundersHigh earnersInvestorsDigital nomadsHolding companies
Watch out for
- Singapore is low-tax, not no-tax. GST, CPF, foreign worker levy, stamp duty, property tax and withholding tax on certain non-resident payments can still matter.
- YA 2026 filing is increasingly auto-assessed through Direct Notice of Assessment or No-Filing Service, but you still must file if your income or self-employment thresholds require it.
- From 1 January 2027, CPF contribution rates for employees aged above 55 to 65 increase again, so payroll planning should look beyond the current year.
Frequently asked questions
Is Singapore a low-tax country?
Yes. Singapore is low-tax for individuals and companies because it uses a territorial system, has no wealth tax, no inheritance tax, no general capital gains tax and no dividend withholding tax on ordinary Singapore company dividends.
Which taxes apply in Singapore?
The main taxes and charges to model are personal income tax, corporate income tax, GST, CPF contributions, property tax, stamp duty and withholding tax on certain non-resident payments.
Is Singapore good for founders and investors?
It can be, especially for regional founders and holding structures. The real decision points are tax residence, GST registration, payroll, bank onboarding, source rules and whether the company needs to manage foreign income receipts or cross-border withholding tax.