Singapore Corporate Tax Guide

Singapore taxes corporate income at a flat 17%. Partial tax exemption for all companies exempts the first SGD 175,000 of normal chargeable income (effectively 0–8.5%). Start-ups enjoy an enhanced exemption on the first SGD 200,000 (effectively 0–6.375%). Singapore operates a one-tier corporate tax system with no dividend withholding tax. All amounts in SGD.

The Inland Revenue Authority of Singapore (IRAS) administers corporate tax under the Income Tax Act 1947. For related guidance, see our Personal Tax Guide →, GST Guide →, and Investment Income Guide →.

Corporate Tax Rate

Singapore's headline corporate tax rate is a flat 17% on chargeable income. This rate has been unchanged since 2010.
The effective rate is significantly lower for small and medium enterprises (SMEs) due to the partial tax exemption and start-up tax exemption schemes.

Partial Tax Exemption (All Companies)

Available to all companies (including foreign-owned).
SGD 75,000 of the first SGD 100,000 of normal chargeable income is exempt (75% exemption).
SGD 150,000 of the next SGD 150,000 of normal chargeable income is exempt (50% exemption).
Effective tax rate on first SGD 175,000: approximately 0% on the first SGD 100,000 and ~8.5% on the next SGD 150,000 (weighted average ~4.8%).
Chargeable income above SGD 250,000 is taxed at the full 17% rate.

Start-Up Tax Exemption (SUTE)

Available to qualifying new companies incorporated in Singapore for the first three consecutive years of assessment.
SGD 200,000 of the first SGD 300,000 of normal chargeable income is exempt (75% on first SGD 100,000, 50% on next SGD 200,000).
Effective tax rate on first SGD 200,000: approximately 0% on the first SGD 100,000 and ~6.375% on the next SGD 200,000 (weighted average ~4.25%).
Exclusions: companies whose principal activity is investment holding or developing residential properties for sale.

One-Tier Corporate Tax System

Singapore operates a one-tier (single-tier) corporate tax system since 2008. Tax paid by a company on its profits is final.
No dividend withholding tax — dividends paid by a Singapore-resident company to its shareholders are exempt from further tax. This applies to both resident and non-resident shareholders.
This eliminates double taxation of corporate profits at the shareholder level.

Territorial Taxation

Only income accrued in or derived from Singapore and foreign income remitted to Singapore is taxable (subject to certain exemptions).
Foreign-sourced dividends, branch profits, and service income received in Singapore are exempt from tax if the headline tax rate in the foreign jurisdiction is at least 15% (subject to conditions).

Filing & Compliance

Estimated Chargeable Income (ECI) must be filed within 3 months of the financial year end (unless exempted).
Corporate Income Tax Return (Form C/C-S) is due by 30 November each year (or 15 December for e-filed returns).
IRAS may grant automatic extension of time for filing for companies with a 31 December year-end (extended to 15 December of the following year for Form C-S).