Taxable and non-taxable income for individuals

It is important for individuals to know that all income earned in or derived from Singapore is chargeable to income tax in Singapore. As for overseas income received in Singapore on or after 1 Jan 2004, it is generally not taxable in Singapore, except in certain situations.

Every Singapore individual resident has to file his tax returns for income earned in the previous year by April 18 every year.  

Such income may come from various different sources such as follows:

  • Employment
  • Trade, business, profession, or vocation
  • Property or investments
  • Miscellaneous such as annuities, royalties, winnings, or estate or trust income

So it is essential to determine your sources of income first in order for you to check whether what you earned is taxable or not. For example, if you were employed overseas, your income earned is considered foreign-sourced and hence it is not taxable in Singapore.

This understanding of your sources of income will allow you to fill up the tax returns correctly and pay the right amount of tax.

It is always advised for every individual to consult a tax agent to understand more about tax systems.

Recommended post: 10 Tax Deductions Every Taxpayer Should Know About


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ACRA Cancels Registration of Filing Agent and Qualified Individual for AML/CFT Breaches

The Accounting and Corporate Regulatory Authority (ACRA) had cancelled the registrations of filing agent (RFA) and qualified individual (RQI) on 18 January 2024. The registrations were cancelled in view of breaches of anti-money laundering and countering the financing of terrorism (AML/CFT) controls under the ACRA (Filing Agents and Qualified Individuals) Regulations 2015 (the “ACRA Regulations”).

Some of the basic AMT/CFT controls that a RFA and RQI are required to exercise are as follows:

(a) perform additional customer due diligence measures when a customer is not physically present during onboarding;

(b) inquiring if there exists any beneficial owner in relation to some of its customers; and

(c) perform risk assessments i

RQIs and RFAs provide corporate secretarial services for business entities, such as helping customers to incorporate companies, file annual returns and fulfil other filing requirements under the Companies Act 1967 or other Acts under ACRA’s purview. RQIs and RFAs are required to perform customer due diligence measures in accordance with the ACRA Regulations, and conduct their business in such a manner as to guard against the facilitation of money laundering and the financing of terrorism. RQIs and RFAs must also satisfy statutory requirements such as being fit and proper persons, to be registered or continue to be registered.

RQIs and RFAs who breach their statutory obligations may be subject to enforcement actions, such as financial penalties of up to $10,000 or $25,000 per breach respectively or have their registrations with ACRA suspended or cancelled.

Therefore, RQIs and RFAs play an important role in helping to detect and combat illicit activities.

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