Tax & GST

Corporate Tax

Singapore Corporate Income Tax

A flat 17% tax on chargeable income, with partial exemption schemes that reduce effective rates for SMEs.

Definition

Singapore's headline corporate tax rate is 17%, applied to chargeable income (taxable profit). New Start-Up companies enjoy the Start-Up Tax Exemption (SUTE) for the first 3 Years of Assessment: 75% exemption on first S$100K and 50% on next S$100K. Established companies receive the Partial Tax Exemption (PTE): 75% on first S$10K and 50% on next S$190K. Many activities qualify for further incentives (PIC successors, R&D deductions, IP regime). Singapore taxes on a territorial basis - foreign-sourced income is generally not taxed unless remitted into Singapore.

Example

A new startup with S$300K chargeable income pays approximately S$28K in tax in its first year (after applying SUTE), giving an effective rate of around 9.4%.

Related terms

IRAS - Singapore's tax authority, responsible for assessing and collecting corporate ta... ECI - An IRAS declaration of a company's estimated taxable income, due 3 months after ... Form C-S / Form C - The annual corporate income tax return filed with IRAS, due by 30 November of th... FYE - The date a company's financial year closes - all tax and reporting deadlines run...