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Singapore Corporate Tax Calculator

Calculate your gross tax payable and effective tax rate using our Corporate Tax Calculator

Income Tax for Corporate Entity

CHARGEABLE INCOME/PROFIT
Enter the chargeable income here.

*For YA 2020, companies will be granted a 25% Corporate Income Tax Rebate which is capped at S$15,000.

One of the most common reasons why foreigners choose to incorporate a Singapore company is mainly due to the low corporate tax rate. What’s even better is that the ‘effective’ tax rate can be even lower, if your company is eligible for various tax exemptions and rebates in Singapore. 

Here are 3 key highlights that make Singapore’s tax system attractive:

  • Single-tier income tax system 
  • Dividends are not taxed
  • No capital gains tax

What is Singapore’s Corporate Tax Rate?

The current corporate tax rate in Singapore is 17% for both local and foreign companies. 

Besides the low corporate tax and effective tax rates, there are also tax exemption schemes for new startups and all companies.

Tax Exemption for New Startups

New qualifying startups in Singapore will be eligible for the Start-up Tax Exemption Scheme (SUTE) which allows you to have the following exemption for the first 3 years of assessment (YA):

From YA 2020 onwards

  • 75% exemption on the first S$100,000 of normal chargeable income; and
  • An extra 50% exemption on the next S$100,000 of normal chargeable income

To be considered for SUTE, you must first ensure the following: 

  • Your company must not have more than 20 individual shareholders
  • For corporate shareholders, 1 individual must hold at least 10% of the issued shares
  • Property and investment holding companies are not eligible 

Partial Tax Exemption for Companies

All companies that do not qualify for SUTE, can qualify for the following partial tax exemption in Singapore. From YA 2020 onwards:

  • On the first $10,000 of normal chargeable income, there is a 75% exemption;
  • An extra 50% exemption on the next $190,000 of normal chargeable income.



Next Steps: Filing your Singapore Corporate Tax

In Singapore, you will need to file the Estimated Chargeable Income (ECI) and Corporate Income Tax Returns (Form C or Form C-S) to the IRAS. 

Estimated Chargeable Income Filing

Based on your company’s financial year-end (FYE), you will need to file the ECI within 3 months from the FYE. Read more details here.

Corporate Income Tax Filing - Form C or Form C-S? 

For all companies, the e-filing of Form C and Form C-S is now mandatory from YA 2020 onwards. Previously, the filing deadline was 15 December. However, from Year 2021, you will need to e-file your Corporate Income Tax returns by 30 November.



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FAQs

  • The current corporate tax rate in Singapore is 17%. However, the effective tax rate can be lower if your company qualifies for the various tax exemptions and rebates.
  • Yes, as a new startup in Singapore, your company can qualify for the Start-up Tax Exemption Scheme (SUTE) which allows you to have the following exemption for the first 3 years of assessment (YA):
    • • 75% exemption on the first S$100,000 of normal chargeable income; and
    • • An extra 50% exemption on the next S$100,000 of normal chargeable income
  • Based on your company’s financial year-end (FYE), you will need to file the ECI within 3 months from the FYE.
  • From the Year 2021, you will need to e-file your Corporate Income Tax returns by 30 November.
  • For all companies, the e-filing of Form C and Form C-S is now mandatory from YA 2020 onwards.

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