Key tax rules for European expatriates living and working in Singapore. Updated for 2025. Singapore has one of the more straightforward tax regimes in Southeast Asia: territorial basis, no CGT, no inheritance tax, and progressive income tax rates that remain competitive at senior income levels.
How you become a tax resident
Tax residency in Singapore is determined by the Inland Revenue Authority of Singapore (IRAS). You are a tax resident if you are physically present or work in Singapore for 183 days or more in a calendar year. Those present for two to three consecutive years may also be treated as residents for the relevant years under the two-year administrative concession.
Residents are taxed at progressive rates on Singapore-sourced income. Non-residents are taxed at 15% or the resident rate, whichever is higher, on employment income. Non-employment income of non-residents (such as director fees) is taxed at 24% flat.
Progressive rate schedule for residents
| Chargeable Income (SGD) | Rate |
|---|---|
| 0 to 20,000 | 0% |
| 20,001 to 30,000 | 2% |
| 30,001 to 40,000 | 3.5% |
| 40,001 to 80,000 | 7% |
| 80,001 to 120,000 | 11.5% |
| 120,001 to 160,000 | 15% |
| 160,001 to 200,000 | 18% |
| 200,001 to 240,000 | 19% |
| 240,001 to 280,000 | 19.5% |
| 280,001 to 320,000 | 20% |
| 320,001 to 500,000 | 22% |
| 500,001 to 1,000,000 | 23% |
| Above 1,000,000 | 24% |
Capital gains treatment
Singapore does not levy capital gains tax. Gains from the disposal of shares, property, or other capital assets are not subject to tax in Singapore, provided the activity does not constitute a trade. Where the IRAS determines that gains arise from a trading activity rather than investment (based on frequency, holding period, and other factors), the gains may be reclassified as income and taxed accordingly.
There is no inheritance tax or estate duty in Singapore. Wealth transfers on death are not subject to tax at the Singapore level.
How foreign-sourced income is treated
Singapore taxes on a territorial basis. Foreign-sourced income is generally not taxable unless it is received in Singapore. For individuals, this means that employment income earned abroad, pension income, and investment income from foreign accounts that is not remitted to Singapore is not subject to Singapore income tax.
Foreign-sourced income received in Singapore by a resident individual is taxable if it arises from partnerships or partnership-equivalent structures. Dividends, branch profits, and service income received in Singapore from foreign sources may be exempt under specific conditions. For most employed expats, the practical effect is that overseas savings and pension income received in foreign accounts are not taxable in Singapore.
Key DTA partners
Singapore has comprehensive DTAs with over 90 countries, one of the broadest treaty networks in the world. Key provisions for European expats:
Can foreigners own property in Singapore?
Foreign nationals can purchase private condominium units and apartments in Singapore without restriction. Landed property (houses, bungalows, semi-detached) requires approval from the Singapore Land Authority and is generally restricted to Singapore Permanent Residents and citizens.
Additional Buyer's Stamp Duty (ABSD) applies to foreign buyers at 60% on top of the standard buyer's stamp duty as of April 2023. This has significantly reduced the attractiveness of Singapore property for foreign buyers compared to earlier periods. Singapore PRs pay 5% ABSD on the first property purchase.
Filing calendar
- 15 April Deadline for filing income tax return (Form B or Form BE) for the preceding year of assessment. E-filing is encouraged and available from 1 March.
- 31 December End of the Singapore tax year (Year of Assessment is the calendar year following the income year).
- 183 days Residency threshold for a single calendar year. Also eligible under the two-consecutive-year administrative concession.
- CPF Mandatory CPF contributions apply to Singapore citizens and Permanent Residents only. Work Pass holders (EP, SP) are exempt from CPF contributions.
Get the Singapore tax calendar for expats
Filing deadlines, residency milestones, and key dates for European expats in Singapore.