This article will help the taxpayers to save some money by understanding the claim applicable tax reliefs. In Singapore all must pay the tax including foreigners who came here for jobs including contract roles.
You need to analyse the tax pattern and claim applicable tax reliefs by end of each year to get the benefits out of it. I will advise you to approach a qualified tax consultant if required before you submit the tax return.
If you are a Singapore citizen and if you meet the necessary conditions you are eligible for tax reliefs, the below are applicable.
- Income relief
- Spouse relief
- Child relief
- Parent relief
- Foreign maid levy relief for married female taxpayers
- Get the claim relief if you qualify for any of the above
Another happy news for working couple, both male and female taxpayers can claim tax relief for their wives or husbands but the spouse does not have an annual income exceeding S$4,000 in a year.
There is a notable increase in tax relief for educational courses, this amount is increased from SGD 3500 to SGD 5000.
The following conditions are also applicable in tax relief claims.
- Central Provident Fund (CPF) top-up
- CPF contributions for the self-employed
- Contributions to the Supplementary Retirement Scheme (SRS) – For 2010, SRS contributions are capped at $11,475 for Singaporeans and permanent residents, and $26,775 for foreigners.
An important thing to note, most of the reliefs are only granted when claimed each year. But certain types of relief like earned income relief and NSman relief are exception to this. So claim each year for relief if you are qualified and with out claiming the relief the authority will not take this in to consideration.
. Few positions which fetch high salary in Singapore.