What is Property Tax?
Property Tax is a tax on the ownership of immovable properties in Singapore. It applies whether the property is occupied by the owner, rented out, or left vacant. It is computed by applying the applicable tax rate to the Annual Value of the property.
How is the Annual Value of a property determined?
- The Annual Value of a property is generally derived based on the estimated gross annual rent that it could fetch if it were rented out.
- In determining the Annual Value of a property, IRAS will consider the rentals of similar or comparable properties, the size and condition of the property, and other relevant factors.
- The Annual Value of a property is determined in the same manner regardless of whether the property is owner-occupied, rented out, or left vacant.
How is Property Tax applied on residential properties?
Property Tax on residential properties in Singapore is progressive. A progressive tax regime on residential property is equitable, as taxpayers with residential properties of higher value pay higher property tax.
The tax rates for owner-occupied residential properties are lower than those for non-owner-occupied residential properties with the same Annual Value.
How is Property Tax applied on non-residential properties?
Non-residential properties, including industrial and commercial properties and land, are taxed at a single flat rate.
What are the current Property Tax rates?
The Property Tax rates can be found on IRAS’ website