The Government Has Paid Out More Than $3.6 Billion of Jobs Credit After The Fourth Payment
18 Dec 2009More than 100,000 employers, employing about 1.4 million local workers, will receive $900 million from the fourth payment[1] of Jobs Credit by 24 December 2009.
2. Eligible employers will receive a notification letter by 22 December 2009 from the Inland Revenue Authority of Singapore (IRAS). The letter will inform them of the amount of Jobs Credit they will receive.
Jobs Credit Scheme will Cease after the Payout in June 2010
3. The Jobs Credit Scheme was introduced as part of the Resilience Package in Budget 2009 in response to the global economic crisis. As announced in October 2009, with the economy now having stabilised, the Government will phase out the Jobs Credit Scheme by providing another two, stepped-down payments in March and June 2010. The two additional payments, which will cost $675m, will be at stepped down rates as follows:
a. March 2010 payment - 6% of salary of employees on the payroll in January 2010.
b. June 2010 payment - 3% of salary of employees on the payroll in April 2010.
No Extension of CPF Contribution Deadline for the March 2010 Payment
4. The first additional payment to be made in March 2010 will be computed based on employees on the CPF payroll for the month of January 2010. Employers must make their CPF contributions for October to December 2009 in order to qualify for this first extended payment of Jobs Credit. They have up to 14 February 2010 to do so.
5. Employers are encouraged to contact IRAS early for any clarification and to visit www.iras.gov.sg or call 1800 356 4055 for more information on the Jobs Credit.
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[1] The fourth payment of Jobs Credit will be computed based on employees on the CPF payroll for the month of October 2009, and the wages paid to these employees from July to September 2009.