{"id":5322,"date":"2022-01-12T10:00:49","date_gmt":"2022-01-12T02:00:49","guid":{"rendered":"https:\/\/www.99.co\/blog\/singapore\/?p=5322"},"modified":"2024-11-06T13:07:43","modified_gmt":"2024-11-06T05:07:43","slug":"property-tax-much-pay","status":"publish","type":"post","link":"https:\/\/www.99.co\/singapore\/insider\/property-tax-much-pay\/","title":{"rendered":"Property tax for homeowners in Singapore: How much to pay + Rebates + Deadline"},"content":{"rendered":"
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Property in Singapore is a prized asset, be it for your own stay or as an investment, but there’s no such thing as a free lunch. Owners have to pay their share of property tax in Singapore every year, and the amount of tax depends on whether the property is owner-occupied, rented out or vacant.<\/strong><\/p>\n\n\n\n

How is property tax in Singapore calculated?<\/b><\/h2>\n\n\n\n

If however, you are an inquisitive fellow and aren\u2019t afraid of numbers, then here is how the math goes down.<\/p>\n\n\n\n

The annual property tax is calculated by multiplying the Annual Value (AV)<\/i> of your property by the property tax rate<\/i>. The formula looks like this:<\/p>\n\n\n\n

Annual Value (AV) x Property tax rate = Property tax payable<\/strong><\/p>\n\n\n\n

The Annual Value (AV)<\/strong><\/h3>\n\n\n\n

The Annual Value comprises the sum of money you could earn by renting out your property for a year, minus any furniture rental cost and general maintenance costs. <\/p>\n\n\n\n

Read this: What is the Annual Value of a property and how do I check mine?\n<\/a><\/i><\/p>\n\n\n\n

The AV of a property might vary from year to year, so will your property taxes. When areas get new amenities and rental prices go up, so will your AV and property tax.<\/p>\n\n\n\n

Similarly, when the market is down, your AV will go down too, and along with it the amount of property tax you have to pay.<\/p>\n\n\n\n

For instance, in line with the increase in market rentals of HDB flats in 2021, IRAS has revised<\/a> the AVs of HDB flats on 1 January 2022. The AVs for private residential properties have been increased as well.<\/p>\n\n\n\n

(It’s not just property tax that’s increasing this year. PM Lee announced<\/a> in his New Year’s message that the government will start moving on the planned GST hike in Budget 2022.)<\/p>\n\n\n\n

Whenever your AV has changed, the Inland Revenue Authority of Singapore (IRAS) will send you a notification regarding the revision. You can also log in to the IRAS myTax Portal<\/a> to check on the AV of your property any time.<\/p>\n\n\n\n

If your AV is reassessed, and you disagree with it, you can submit an objection.<\/strong> You should do so within 30 days from the valuation notice. You cannot, however, object to the tax rate itself.<\/p>\n\n\n

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If you wish to view the AV of a property before buying it, you can do so with the Check Annual Value of Property service<\/a>. Take note that each search costs S$2.50, inclusive of GST.<\/p>\n\n\n\n

Property tax rate<\/strong><\/h3>\n\n\n\n

Your tax rate depends on factors such as your Annual Value and whether you live in the property yourself. The higher the AV of your home, the higher the tax rate.<\/strong><\/p>\n\n\n\n

The tax rate is progressively tiring. The higher your property value, the higher your AV<\/strong> would be, and so would be your tax rate.<\/p>\n\n\n\n

The idea is to tax the wealthy more. Hence, properties that are not owner-occupied have a higher progressive tax rate. This is logical, as those who own property they don’t live in (whether it’s rented out or vacant) are deemed to be wealthier.<\/p>\n\n\n\n

Owner-occupier tax rates<\/strong><\/h4>\n\n\n\n

Let’s get down to the numbers. If you are an owner-occupier, the following tax rates apply to you.<\/p>\n\n\n

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\"Owner-occupier
Source: IRAS<\/figcaption><\/figure><\/div>\n\n\n

In Singapore, owner-occupier property tax rates range from 0 to 16%. If the above table is confusing, let us explain which tax rate you should use as an owner-occupier.<\/p>\n\n\n\n

If your property’s AV is S$35,000,\u00a0<\/strong><\/p>\n\n\n\n

First S$8,000: 0% = S$0<\/p>\n\n\n\n