Income Tax, Corporate Tax and Road Tax Charts (Singapore)
Understanding Singapore Tax Rates
Whether you’re an individual taxpayer, business owner, or HR personnel managing foreign employees, staying updated on Singapore’s latest tax rates is essential.
At Plutus, we simplify tax compliance by breaking down the key rates and rules you need to know—be it income tax brackets, corporate tax rates, road tax, or Workman Injury Compensation Insurance.
This article serves as a quick and reliable reference for those seeking clarity on how much tax to expect, when it applies, and how it fits into your broader financial or payroll planning. Let Plutus help you keep things streamlined, so you can stay focused on what matters most—your business.
Individual Income Tax (Singapore Residents)
📌 Progressive Tax Rates (YA2024/2025 onwards)
| Chargeable Income (SGD) | Tax Rate | Tax Amount (on that bracket) |
| First $20,000 | 0% | $0 |
| Next $10,000 | 2% | $200 |
| Next $10,000 | 3.5% | $350 |
| Next $40,000 | 7% | $2,800 |
| Next $40,000 | 11.5% | $4,600 |
| Next $40,000 | 15% | $6,000 |
| Next $40,000 | 18% | $7,200 |
| Next $40,000 | 19% | $7,600 |
| Next $40,000 | 19.5% | $7,800 |
| Next $40,000 | 20% | $8,000 |
| Above $500,000 | 22% ~24% | Marginal rate continues |
🧮 For example:
A Singaporean earning $120,000 will be taxed:
- First $20,000: 0%
- Next $10,000: 2% = $200
- Next $10,000: 3.5% = $350
- Next $40,000: 7% = $2,800
- Remaining $40,000: 11.5% = $4,600
✅ Total tax = $7,950
✅ Tax reliefs such as earned income relief, CPF contributions, NSman relief, and parenthood rebates can significantly lower the chargeable income.
Corporate Tax (for companies)
📌 Singapore Corporate Income Tax Rate
| Category | Tax Rate |
| Standard Corporate Tax Rate | 17% |
| Effective Tax Rate (after rebates/partial exemption for new startups) | As low as 4.25%–8.5% on first $100,000 |
✅ Start-Up Tax Exemption (3-year relief)
- First $100,000: 75% exemption → taxed on $25,000
- Next $100,000: 50% exemption → taxed on $50,000
- Remainder: 17%
🏢 Partial Tax Exemption (non-startups)
- First $10,000: 75% exemption
- Next $190,000: 50% exemption
📌 No capital gains tax or dividend tax in Singapore.
Road Tax (Private Vehicles)
Singapore road tax is calculated based on engine capacity (cc) and vehicle type. Here’s a quick breakdown:
📌 For Petrol Cars (as a guideline)
| Engine Capacity (EC) | Annual Road Tax Formula |
| 600cc and below | $400 |
| 601cc – 1,000cc | $400 + $0.25 per cc above 600 |
| 1,001cc – 1,600cc | $500 + $0.75 per cc above 1,000 |
| 1,601cc – 2,000cc | $950 + $1.50 per cc above 1,600 |
| 2,001cc – 3,000cc | $1,750 + $2.00 per cc above 2,000 |
🧮 Example: For a 1,498cc car:
$500 + (498 × $0.75) = $873.50/year
EVs and hybrid cars enjoy discounts or rebates, but COE and ARF also impact overall car costs in Singapore.
Simplify Your Business with Plutus
At Plutus, we provide a comprehensive range of corporate services, corporate loan advisory, and general insurance solutions. Our offerings include payroll services, corporate secretarial support, tax filing, financial reporting, and more—all designed to streamline your operations.
Whether you’re a start-up or an established business, our expertise in business process outsourcing and corporate finance solutions helps you make data-driven decisions for long-term success. You can also leave the hassle of S-Pass, Employment Pass, and Long-Term Pass applications to us—we’ll handle the entire process for you.
Let us take care of the administrative burden while you drive your business forward. Get in touch today for a consultation!