Guide to Singapore Corporate Tax Rates: Everything You Need to Know

Singapore's corporate tax regime is known for its simplicity and competitiveness, making it an attractive destination for businesses. At Apexia Corporate Advisory, we provide expert guidance to help companies understand corporate tax rates, exemptions, and rebates, ensuring compliance while maximizing tax savings.

Singapore Corporate Tax Rates

The corporate income tax rate in Singapore is a flat rate of 17%. This applies to both local and foreign companies operating in Singapore. The tax rate is among the lowest globally, reinforcing Singapore's status as a business-friendly hub.

Tax Exemptions for New Start-Up Companies

To encourage entrepreneurship, Singapore offers tax exemptions for qualifying start-ups during their first three years of assessment:

• 75% exemption on the first SGD 100,000 of normal chargeable income.
• 50% exemption on the next SGD 100,000 of normal chargeable income.

Note: Investment holding companies and companies engaged in property development are not eligible for this scheme.

Partial Tax Exemption for All Companies

All companies can enjoy partial tax exemptions, as follows:

• 75% exemption on the first SGD 10,000 of normal chargeable income.
• 50% exemption on the next SGD 190,000 of normal chargeable income.

Corporate Income Tax Rebates

In certain Years of Assessment (YA), companies may receive tax rebates to further reduce their tax liabilities. These rebates are announced periodically by the Singapore government in the annual Budget. For example, a 50% rebate (capped at SGD 40,000) applies for both YA 2025 and YA 2026, in each case with a minimum cash grant for eligible companies employing at least one local employee. As the rate and cap can change each year, please confirm the current position with IRAS.

Companies awarded specific tax incentives such as the Pioneer Tax Incentive or the Development and Expansion Incentive may also enjoy concessionary tax rates, further reducing their effective tax liabilities. These incentives are designed to encourage businesses to engage in high-value-added activities and expand operations in Singapore.

Filing Corporate Income Tax

Companies are required to file their Corporate Income Tax Return (Form C-S/ Form C-S (Lite)/ Form C) annually. Filing deadlines are as follows:

• e-Filing (compulsory for all companies): 30 November

How Apexia Corporate Advisory Can Help

At Apexia, we offer comprehensive tax advisory services to help businesses navigate Singapore's corporate tax regime. Our services include:

• Calculating and optimizing corporate tax liabilities
• Ensuring compliance with tax filing requirements
• Providing guidance on tax exemptions and rebates
• Advising on tax planning strategies to enhance profitability

With our expertise, your business can focus on growth while we handle the complexities of corporate taxation.