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Types of Taxes Imposed on Businesses (3 of 7): Property Tax

Property tax is levied on all owners of property in Singapore. Here is a quick overview of property tax and how it affects your business.


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Published by Enterprise Singapore
on 11 Oct 2019

Property Tax

  • Property tax is a tax on properties in Singapore. All types of properties including HDB flats, factories, offices, industrial land and vacant land are subject to tax.
  • You are required to pay property tax if you or your business owns any property.

 

Property Tax Rates

  • The amount of property tax you have to pay per year is a percentage of the Annual Value of the property. The Annual Value is the estimated yearly rent the property can fetch if it were rented out. This excludes furniture, furnishings and maintenance fees.
  • The current tax rate is 10%. However, you may pay a lower tax amount if you are eligible for the owner-occupier’s tax rate or other tax concessions/reliefs.
  • The progressive tax rate for owner-occupied residential property is:

 Annual Value (S$)

 Tax Rate (%)

 First 6,000

 0%

 Next 59,000

 4%

 Amount exceeding 65,000

 6%


Tip: If you are using your residential home as an office, you are eligible for the progressive owner-occupier’s tax rate as long as you own and live in the home.

See:   Lower Property Tax Rates for Owner-Occupied Residential Properties

 

Paying Property Tax

  • You are required to pay property tax by 31 January every year.
  • IRAS will compute the annual tax you need to pay and send you the bill in December. Instructions on how to pay property tax are included in your bill.

See:    How to Pay Tax

 

Rebates, Reliefs & Refunds

  • To help keep taxes affordable, encourage certain types of land development and meet business needs, the Government gives out rebates, reliefs and refunds to property owners.
  • For instance, if your property has been continuously vacant for at least 30 days or 1 calendar month because of repairs or the inability to find a tenant, you can claim for a refund of property tax for that period.

See:    Owner-Occupiers' Claims, Rebate & Reliefs

Property Tax Reliefs

 

Buildings Exempt From Property Tax

A building is exempt from property tax if it is used exclusively:

  • as a public place of worship
  • as a public school
  • for charitable purposes
  • for purposes that promote the social development of Singapore

Partial exemption may be granted if only parts of the building qualify for exemption.

See:    Basics of Property Tax

 

Property Tax Guides

To learn more about property tax and how it affects your business, visit these pages.

 

Getting Help

  • You may also contact IRAS: 

Last Modified Date: 11 Oct 2019