Singapore Breaks Tax Collection Records
August 26, 2014 Taxation in Singapore
SINGAPORE – Singapore has seen record-high tax collections, as an increasing number of businesses and individuals file their tax returns on time.
Tax collections in Singapore have hit an all-time high, reaching a level of SGD 41.6 billion, according to information in the annual report of the Inland Revenue Authority of Singapore, issued on August 26th.
The tax revenue level was 0.5 percent higher than in the previous year, when tax revenues hit SGD 41.4 billion.
The record-high tax collection level has been attributed to significant improvement in tax compliance by individuals and businesses, with 95.6 percent of individual taxpayers filing their returns on time, and 82.5 percent of businesses filing their returns before the deadline.
The improved collection level has also been supported by the Inland Revenue Authority’s continued efforts to eliminate non-compliant behavior, with ongoing investigations uncovering 15 233 cases of non-compliance with tax rules, leading to the recovery of SGD 387 million in unpaid taxes and penalties.
The record-high level of tax compliance was also aided by the tax authority’s push to make the process of complying with tax obligations easier, including the no-filing program, which allowed more than 1.23 million individual taxpayers to comply with their annual tax obligations without having to file a separate annual tax return.
Photo By: Erwin Soo