Singapore Corporate Tax Calculator

Corporate Tax Calculation Scenarios

Singapore Corporate Tax Rates

• Standard Rate: 17% on chargeable income
• Partial Exemption: 75% on first $10,000
• Partial Exemption: 50% on next $190,000
• Full Rate: 17% on income above $200,000
• Effective Rate: Varies based on profit level

Tax Exemption Schemes

• Startup Tax Exemption: 100% on first $100K for 3 years
• SIAS (Standard): 75% on first $10K, 50% on next $190K
• Enhanced SIAS: Additional exemptions for qualifying companies
• New Company: First 3 years enhanced exemptions
• Qualifying Conditions: Local shareholding requirements

Startup Tax Exemption

• Eligibility: New companies incorporated in Singapore
• Duration: First 3 consecutive years
• Exemption: 100% on first $100,000 of chargeable income
• Additional: 50% on next $100,000
• Shareholding: At least 20% local shareholding required

Deductible Expenses

• Operating Expenses: Wholly and exclusively for business
• Staff Costs: Salaries, CPF, benefits
• Rent & Utilities: Office and operational premises
• Professional Fees: Legal, audit, consultancy
• Interest Expense: On business loans

Capital Allowances

• Plant & Machinery: Various rates based on asset type
• Industrial Buildings: 3% per annum
• Intellectual Property: 5 or 10 years write-off
• Renovation: 3 years write-off
• Computer Software: 1 year write-off

Double Deduction Schemes

• R&D Expenses: 200% deduction for qualifying R&D
• Approved Training: 200% for qualifying training costs
• Market Development: Overseas market development
• Automation: Qualifying automation equipment
• Intellectual Property: IP development and acquisition

Withholding Tax

• Interest: 15% on interest paid to non-residents
• Royalties: 10% on royalties to non-residents
• Technical Fees: 17% on technical service fees
• Management Fees: 17% on management fees
• DTA Relief: Reduced rates under tax treaties

GST Implications

• Registration Threshold: $1 million annual turnover
• Standard Rate: 8% on taxable supplies
• Input Tax Claims: Recover GST on business expenses
• Zero-rated Supplies: Exports and international services
• Exempt Supplies: Financial services, residential property

Foreign Income

• Territorial System: Foreign income generally not taxed
• Remittance Basis: Tax on foreign income remitted to Singapore
• Exemptions: Qualifying foreign income exemptions
• Tax Credits: Foreign tax credits available
• Controlled Foreign Company: Special rules for CFCs

Dividend Policy

• One-tier System: No tax on dividends received
• Franking Credits: No imputation system
• Distribution: Dividends paid from after-tax profits
• Withholding: No withholding tax on dividends
• Foreign Dividends: Generally exempt from tax

Transfer Pricing

• Arm's Length Principle: Related party transactions
• Documentation: Required for transactions above thresholds
• Methods: OECD approved transfer pricing methods
• Advance Pricing Agreements: Available for certainty
• Penalties: For non-compliance with rules

Tax Compliance

• Filing Deadline: Within 3 months of year-end
• Extension: Up to 6 months with approval
• Estimated Chargeable Income: Filed within 3 months
• Payment: 1 month from notice of assessment
• Penalties: Late filing and payment penalties

Tax Planning Strategies

• Timing of Income: Defer income to next year
• Accelerate Expenses: Bring forward deductible expenses
• Capital vs Revenue: Classify expenses appropriately
• Group Relief: Transfer losses within group
• Restructuring: Optimize corporate structure

Loss Utilization

• Carry Forward: Losses can be carried forward indefinitely
• Shareholding Test: Same shareholders must hold shares
• Business Test: Same business or related business
• Group Relief: Transfer current year losses
• Unabsorbed Allowances: Similar rules apply