Singapore Personal Tax for Non-Residents
Singapore Personal Income Tax for Non-Resident Employees
The employment income of a non-resident individual in Singapore is charged at the higher of:
- 15% on the gross amount (without any deduction for personal reliefs and contribution to provident funds); or, 总金额的15%（不扣除个人减免和公积金缴款）；或，
- Corresponding tax under the resident basis. 居民基础下的相应税收。
Director’s fees, consultation fees & all other income
Income from other sources (unless exempted) will be taxed at a flat rate which is currently 20%. There is an exemption in respect of the employment income of a non-resident individual (other than a director or public entertainer) who does not exercise employment in Singapore for more than 60 days during the year.
The Not Ordinarily Resident (NOR) Scheme
The Not Ordinarily Resident (NOR) Scheme extends favourable tax treatment to qualifying individuals for a period of five years of assessment, provided such individuals meet the following criteria:
- The individual must not have been a Singapore resident in the 3 consecutive years of assessment before the year he first qualifies for the NOR scheme; and 该个人在首次符合NOR计划资格的年份之前，在连续3年的评估中不得是新加坡居民；以及
- The individual must be a tax resident for the year of assessment in which he wishes to qualify for the NOR scheme and must also be employed by a Singapore employer. 个人必须是其希望符合NOR计划资格的课税年度的税务居民，并且必须由新加坡雇主雇用。
If you satisfy the above conditions and are accorded NOR status, you would be able to enjoy the following tax concessions:
- Applicable if you have spent at least 90 days outside Singapore for business and derived a minimum annual income of S$160,000 from Singapore employment in the preceding year. You will only pay income tax on the portion of your employment income (including all benefits-in-kind with effect from Year of Assessment 20## but excluding director’s fees and any income tax payable in Singapore that is borne directly or indirectly by your company) according to the time you spend in Singapore. 如果您在新加坡境外至少工作了90天，并且在上一年从新加坡的工作中获得最低年收入16万新元，则适用。根据您在新加坡的时间，您只需缴纳部分就业收入的所得税（包括从20#课税年度起生效的所有实物福利，但不包括董事费和在新加坡应由贵公司直接或间接承担的任何所得税）。
- Tax exemption of employer’s contribution to Non mandatory Overseas Pension Fund or Social Security Scheme 雇主对非强制性海外养老基金或社会保障计划的缴款免税
- Applicable if you derive a minimum annual income of S$160,000 from Singapore employment in the preceding year. The employer’s contribution to non mandatory overseas pension funds or social security schemes for non-citizens/ non-permanent residents of Singapore is tax exempt subject to NOR cap computed based on the contribution made by employer to the CPF for a Singapore citizen as required under the CPF Act and the employer does not claim deduction for the contribution. 如果您在上一年从新加坡就业中获得的最低年收入为16万新元，则适用。雇主对新加坡非公民/非永久居民的非强制性海外养老基金或社会保障计划的供款免税，但须遵守或以雇主根据《公积金法》为新加坡公民向公积金供款计算的上限，并且雇主不要求扣除贡献。
Area Representative Scheme
By concession, an area representative is taxed in Singapore on a proportion of the total remuneration package corresponding to the proportion of working days spent in Singapore during the year. However, benefits-in-kind provided in Singapore are fully taxable.
To qualify as an Area Representative, you must satisfy these four criteria below:
- you work in the representative office of a non-resident employer; 你在非本地雇主的代表处工作；
- you are based in Singapore for geographical convenience; 为了地理上的便利，您的总部设在新加坡；
- you are required to travel substantially as you performed your duties for the foreign employer; and 当您为外国雇主履行职责时，您必须大量出差；以及
- your remuneration is paid by your foreign employer and not charged to a permanent establishment in Singapore. 您的报酬由您的外国雇主支付，不向新加坡的常设机构收取。
Under the Area Representative Scheme, even though your physical presence in Singapore might be less than 183 days in a calendar year due to substantial travelling, if your employment is a continuous period of at least 183 days straddling two years (under the two-year administrative concession) or if your employment in Singapore covers three continuous years (under the three-year administrative concession), you will be considered as a tax resident in Singapore for each year.
Alternatively, if you are working for a group of companies, it may be possible to have a separate contract of employment for duties to be performed wholly outside Singapore (in respect of a non-resident employer) with a view to exclude the earnings from that offshore employment from Singapore tax.
The IRAS routinely questions whether the duties performed inside and outside Singapore are genuinely separated and whether there are commercial and economic justifications for dual employment contracts. Therefore, these and other points would have to be considered in assessing whether separate employments would be justifiable. It is expected that most people who have a bona fide reason for a split contract should qualify under The Not Ordinarily Resident Scheme (see below). For this reason, it is anticipated that the IRAS will closely scrutinise dual contract arrangements implemented after the introduction of the Not Ordinarily Resident Scheme in the Year of Assessment 2003.
Letter of Guarantee (LOG)
A foreign individual who is employed by a foreign employer (e.g. representative office or entity not registered in Singapore) is required to provide LOG from a local bank or an established limited company in Singapore to cover his / her estimated tax for the coming Year of Assessment. If the LOG is not provided to the IRAS, an advance assessment will be issued.
If you are leaving Singapore or changing jobs
If you are about to leave Singapore or changing to another job within Singapore, your current employer needs to notify IRAS and ensure that you settle all your taxes before you go. This process is known as tax clearance. If you have any existing stock options or awards on hand which have yet to be exercised or vested, you will be deemed to have derived gains from the stock or awards at the point of tax clearance.
Tax clearance for non-citizen employees
Form IR21 must be completed at least one month before a non-citizen employee ceases employment in Singapore (including posting to an overseas location) or plans to leave Singapore for more than 3 months. Employers who fail to comply may be liable to a fine not exceeding $1,000 and for the employee’s unpaid tax, if any.