Why You Should File Your Singapore Personal Income Tax

By Author: Shayne Hughes
Total Articles: 108
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Tax residents and non-residents should file their Singapore personal income tax because it is made mandatory under the law of Singapore's government. Annual personal tax should be filed to IRAS by April 15 of 2011. IRAS diligently enforces the requirements relating to the filing of the personal tax and convincing both tax residents and non-residents to comply in order to avoid paying fines and/or court prosecution.

In cases where tax return is not filed by the 15th of April, IRAS may raise estimated assessment. If an individual does not agree with the assessment raised, he / she have to lodge an objection in writing within 30 days from the date of issue of notice of assessment; otherwise the assessment will automatically become final. You can usually expect to receive the income tax bills from May to August. Settlement of personal tax liability can be done by signing up a 12-month interests free GIRO Deduction Plan to pay your income tax by installments. Otherwise, full payment has to be made within one month from the date of the income tax bill.

The following are the consequences for not filing Singapore personal ...
... income tax:

1. If the tax is not paid by the due date, a 5% penalty and 1% additional penalty per month up to 12% (total of 17%) will be imposed.
2. Additional penalty of 1% up to a maximum of 12% on any unpaid tax for each month that the tax remains unpaid;
3. IRAS may direct the taxpayer's employer to deduct any unpaid tax from his salary;
4. IRAS may direct the taxpayer's banks, tenants or any third parties to pay any unpaid tax to IRAS from any money held for the taxpayer or due to him;
5. IRAS may restrict the taxpayer from leaving Singapore
6. IRAS may take legal actions against the taxpayer.

Rikvin services team consists of a group of professionals who have in depth knowledge, legal, financial, tax, Singapore personal income tax, and corporate and regulatory frameworks. They guide you through every step, respond promptly, and closely follow your application progress to ensure that your case is presented in the best possible manner that it deserves.