Singapore Income Tax Rates
Tax System Overview
System: Progressive (banded)
Authority: Inland Revenue Authority of Singapore (IRAS)
Law: Income Tax Act 1947
Singapore’s tax year is the calendar year. Tax residents are taxed on income earned in or remitted to Singapore. There is no capital gains tax. Singapore has one of the lowest personal income tax rates in the developed world.
Key Deductions & Allowances
Earned Income Relief (up to S$1,000 for under 55). CPF contributions provide tax relief. Course fees relief (up to S$5,500). Working Mother’s Child Relief (15–25% of income). NSman relief. Supplementary Retirement Scheme (SRS) contributions.
Singapore Income Tax Brackets
Current tax rates for Singapore. Progressive (banded) system.
| Income Range | Tax Rate |
|---|---|
| S$0 – S$20,000 | 0% |
| S$20,001 – S$30,000 | 2% |
| S$30,001 – S$40,000 | 3.5% |
| S$40,001 – S$80,000 | 7% |
| S$80,001 – S$120,000 | 11.5% |
| S$120,001 – S$160,000 | 15% |
| S$160,001 – S$200,000 | 18% |
| S$200,001 – S$240,000 | 19% |
| S$240,001 – S$280,000 | 19.5% |
| S$280,001 – S$320,000 | 20% |
| S$320,001 – S$500,000 | 22% |
| S$500,001 – S$1,000,000 | 23% |
| S$1,000,001+ | 24% |
Additional Taxes & Contributions
Beyond income tax, Singapore workers may pay these additional charges.
| Tax / Contribution | Rate | Notes |
|---|---|---|
| CPF (Central Provident Fund) | 20% | Employee contribution for ages <55; employer contributes 17% |
| No capital gains tax | 0% | Singapore does not tax capital gains |
| No inheritance tax | 0% | Abolished in 2008 |
Effective Tax Rates by Income
Estimated federal/national income tax only. Shows how effective rates differ from marginal rates.
| Annual Income | Est. Tax | Effective Rate |
|---|---|---|
| S$40,000 | S$550 | 1.4% |
| S$80,000 | S$3,350 | 4.2% |
| S$120,000 | S$7,950 | 6.6% |
| S$200,000 | S$19,950 | 10.0% |
| S$500,000 | S$85,950 | 17.2% |
Estimates based on standard deductions/allowances. Actual tax depends on personal circumstances, filing status, and applicable credits.
About Singapore's Tax System
Singapore has one of the lowest personal income tax rates in the developed world, with a top rate of just 24% and the first S$20,000 tax-free. There is no capital gains tax and no inheritance tax.
The Central Provident Fund (CPF) is Singapore’s mandatory savings scheme. Employees under 55 contribute 20% of wages, with employers adding 17%. CPF covers retirement, healthcare (Medisave), and housing.
Singapore’s low tax rates are offset by high CPF contributions. However, CPF savings belong to the individual and can be used for housing and retirement, making them more like forced savings than taxes.
Tax Brackets by Country
Compare income tax systems across different countries.
United States
Canada
United Kingdom
Australia
New Zealand
Germany
India
Ireland
South Africa
Japan
PhilippinesFrequently Asked Questions
Progressive rates from 0% (first S$20,000) to 24% (above S$1 million). The effective tax rate for most Singaporeans is well below 10%.
The Central Provident Fund is mandatory savings: employees contribute 20% and employers 17% of wages. It covers retirement, healthcare, and housing.
No. Singapore does not tax capital gains, making it attractive for investors and entrepreneurs.
Earned Income Relief, CPF relief, course fees relief, Working Mother’s Child Relief, and Supplementary Retirement Scheme contributions.