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2013 Property Tax Information in Singapore

This article intends to make things clear about rates of [property tax in Singapore. You will come to know about the progressive tax regime of Singapore in terms of properties that include flats of HDB and private properties in addition to plots, factories, office buildings, and commercial places. Property tax is levied on all properties in Singapore. This taxis calculated on the basis of annual rental value of the property. The amount of rent that a property can fetch if it were to be rented out is its annual value and a percentage of this amount is charged as property tax by the government.

Update from 2013 budget

Beginning 1stJanuary 2014, there will not be any refund concessions for properties lying vacant. This will be irrespective of whether these properties are residential or commercial. The procedure to levy property tax will be streamlined as following.

Residential properties lying vacant

The property tax for residential properties lying vacant will be similar to the rates of residential properties that are not occupied by their owners. But the properties that are under construction or repair for the future use of the owner will be taxed at the owner occupied residential properties. However, this tax rate is contingent upon the owner occupying the property after repair or renovation for a period of at least one year.

Non-residential properties lying vacant

There is a property tax rate of 10% for vacant building or properties that are meant for nonresidential use and this applies to all those buildings that are under repair or being renovated for future use.

Land that is undergoing development

Property tax for vacant land that is undergoing development for future residential use of the owner can be taxed at the rate that is applied to owner occupied property. In other cases where the land is lying vacant, it is taxed at the rate of 10% during the period that it is being developed. All residential properties that are renovated or demolished and developed for future use are taxed at the prevailing property tax rates.

Rates of property tax

Property tax rates have been made more progressive over a period of two years beginning 1 January 2014.

Annual Value Tax Rates w.e.f 1 Jan 2014 Tax Rates w.e.f 1 Jan 2015
First $8,000 Nil Nil
Next $47,000 4% 4%
Next $5,000 5% 6%
Next $10,000 6% 6%
Next $15,000 7% 8%
Next $15,000 9% 10%
Next $15,000 11% 12%
Next $15,000 13% 14%
AV in excess of $130,000 15% 16%

The following are the new tax rates of Non-owner-occupied residential properties

Annual Value Tax Rates w.e.f 1 Jan 2014 Tax Rates w.e.f 1 Jan 2015
First $30,000 10% 10%
Next $15,000 11% 12%
Next $15,000 13% 14%
Next $15,000 15% 16%
Next $15,000 17% 18%
AV in excess of $90,000 19% 20%

No change in the rate of property tax for land that is non residential in nature as it stands at 10%

RELIEF MEASURES AND REFUNDS

To encourage people to pay their property taxes on time, government announces many different rebate and relief measures from time to time. This is also done to keep property taxes affordable. You can claim a refund in property tax if your property has been vacant for a period of more than a month in a year because of repairs or renovation.

EXEMPTIONS IN PROPERTY TAX

You need not pay property tax for your building if your structure is being used:

  • As a place of worship for the public
  • As a public school
  • For charitable purposes
  • As a structure that helps in promoting social development of Singapore
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