Personal Tax Recap Quiz 1

What is the full name of the government agent that performs the assessment, collection and enforcement of payment of taxes?

• Internal Revenue Authority of Singapore

• Inland Revenue Authority of Singapore

• Inland Revenue Agency of Singapore

• Intergalactic Radiation Agency in Space

Answer explanation

The Inland Revenue Authority of Singapore (IRAS) is the Singapore government's tax agent.

If the Year of Assessment is in 2023, then the basis period for this is in...

• 2022

• 2023

• 2024

• 2025

Answer explanation

The basis period precedes the Year of Assessment (YA).

The employment income of a NON-RESIDENT is taxed at which rate?

• 15%

• Progressive tax rate

• The higher of 15% or the progressive tax rate

• 24%

Answer explanation

For non-residents, employment income is taxed at the higher of the flat rate of 15% or the progressive tax rate.

Director's fees, consultant's fees and all other income are taxed at 24%.

What is the magic number of days that is used to distinguish between a tax resident and a non-resident?

• 91

• 100

• 183

• 365

Answer explanation

For a number of criteria, we have to see if the person had been in Singapore for at least 183 days.

Is the following considered a tax resident for YA202?

Sarah, a Singapore Permanent Resident (PR) went for an exchange programme to China from March 2024 to October 2024.

• Tax Resident

• Non-Resident

• Not Applicable

Answer explanation

Singapore citizens and Singapore PRs are considered as tax residents, even if they are out of the country temporarily (e.g. overseas work or study arrangements)

Leaps years affect whether a person may be considered a tax resident in Singapore.

• True

• False

Answer explanation

Leap years have an additional day which affects the 183 days criteria.

Is the following considered a tax resident for all 3 years mentioned?

• - An American came to Singapore to work in November 2022.

• - Worked until March 2023 but was attached to another location until September 2023 where he came back to Singapore.

• - Returned to USA for good in March 2024.

• Yes

• No

• Not enough information

Answer explanation

Because he did not work for 3 consecutive years in Singapore, he is not considered a tax resident for all three years, namely 2022 (i.e. YA 2023).

He can be considered a tax resident from calendar years 2023 to 2024 (i.e. YA 2024 to YA 2025), since its between 2 years and the total consecutive stay is >183 days.