A 50% personal income tax rebate for the Year of Assessment 2024 (YA2024) has been declared by the Singapore Government. This set of measures was announced during Budget 2024 while addressing the concern over the rising cost of living. The aim is to financially help middle-income earners cope with high cost of living.
In this article;
- What Is Personal Income Tax Rebate?
- 50% Personal Income Tax Rebate for Singaporeans 2024 Payment
- Singapore Personal Income Tax Rebate 2024 Eligibility
- Personal Income Tax Rebate for Singaporeans 2024 – Amount of Tax Rebate
- How Much is Income Taxed In Singapore for Foreigners?
- How to File Personal Income Tax Rebate In Singapore
- What is the Deadline for Filing Personal Income Tax Rebate in Singapore?
What Is Personal Income Tax Rebate?
A form of tax relief provided by the government to reduce the tax burden on individuals. It can be used to offset the income tax payable and can even be carried forward to subsequent years if not fully utilised.
The rebate is part of the various tax reliefs and rebates offered by the government to promote social objectives such as marriage, family formation, supporting dependents, and saving for retirement.
Important Links:
Residents in Singapore are subject to progressive tax rates between 0% to 22%, while non-residents are taxed at a flat rate of 22%. The Personal Income Tax Relief Cap in Singapore is set at $80,000 per Year of Assessment, aiming to keep the tax system progressive and competitive.
50% Personal Income Tax Rebate for Singaporeans 2024 Payment
Singaporeans will receive a 50% personal income tax rebate capped at $200 in 2024. This was announced during Budget 2024 due to concerns over the high rising cost of living.
In his speech, Deputy Prime Minister Lawrence Wong said during the 2024 Budget, the capped amount will benefit middle-class earners. Moreover, the relief will apply to working mothers caring for children and also taxpayers who top-up CPF accounts of their siblings or spouses.
“Our ability to invest in our economy, our society and our resilience has to be anchored on a strong fiscal position. We spend our resources wisely and we take great care to provide for our children and our grandchildren,” said Mr Wong.
“This is why I made major revenue moves in the last two budgets. These moves have put us on a stronger fiscal footing for the next decade, while ensuring that our overall system of public finances remains fair and progressive.”
According to Mr Lawrence, this benefit will cost the government S$350m.
In addition, the government will rise the annual income threshold from S$4,000 to S$8,000 by 2025 for dependent-related reliefs. That’s a double of the current threshold for dependent-related reliefs.
Singapore Personal Income Tax Rebate 2024 Eligibility
As a Singaporean, you should meet the specific criteria to qualify for the Personal Income Tax Rebate Singapore for the Year of Assessment 2024 ( YA2024) including:
1.Taxable Income:
- Have taxable income in YA2024
- Rebate amount must be 50% of your personal income tax payable (YA2024), capped at $200.
- Rebate will automatically reflect in the Notice of Assessment (NOA), that’s disbursed by the Inland Revenue Authority of Singapore (IRAS).
2.Tax Residency:
Must be a Singapore tax resident for YA2024. This means:
- You’re a Singapore citizens residing in Singapore except for temporary absences.
- Permanent Singaporean resident with a permanent home in Singapore.
- A foreigner working/staying in Singapore for 183 days or more within the calendar year or previous year 2023.
Personal Income Tax Rebate for Singaporeans 2024 – Amount of Tax Rebate
| Year of Assessment | Amount of Tax Rebate |
| 2024 | 50% of tax payable, up to $200 |
| 2019 | 50% of tax payable, up to $200 |
- Rebate Cap: $200. This is the maximum amount you can receive from your tax liability.
- Rebate Rate: 50% of your personal income tax for the Year of Assessment 2024 (YA2024).
Calculation:
The tax rebate is calculated based on the following:
- Tax payable amount after double taxation relief and other credits
- Tax payable amount before offsetting the Parenthood Tax Rebate. Note that this rebate applies ONLY to personal income tax.
How Much Is Income Taxed In Singapore for Foreigners?
24%. The income tax rate for non-resident taxpayers except those on employment income and other income taxable at reduced withholding rates has rise to 24% from 22% in the Year of Assessment 2024 (YA2024).
How to File Personal Income Tax Rebate In Singapore
You do not need to submit any additional forms or applications. The rebate is automatically granted for the relevant years.
Eligible Singaporeans can view their pre-filled reliefs for the Year of Assessment to make withdrawals or claims depending on their eligibility when e-Filing their tax return.
The filing process is easy to use, Singaporeans can declare their income, deductions and tax reliefs via myTax Portal. Rebates will automatically reflect in the tax bill or Notice of Assessment for eligible individuals.
What is the Deadline for Filing Personal Income Tax Rebate in Singapore?
April 15 or April 18 if filed electronically, is the deadline for filing personal income tax returns in Singapore. There’s no separate deadline for claiming Personal Income Tax Rebate as it’s automatically applied to taxpayers.
