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Useful articles on HR and Payroll in Singapore
23 August 2021

Is overseas income taxable?

This article is for Singapore residents who are employed overseas but are working in Singapore.

Generally, overseas income received in Singapore by you is not taxable and need not be declared in your Income Tax Return. This includes overseas income paid into a Singapore bank account.

However, overseas income is taxable in Singapore when any of the following applies: 

  

1  

Your overseas employment is incidental to your Singapore employment (i.e. as part of your job requirements, you are required to travel overseas).

2

It is received through partnerships in Singapore.

3

You are employed Overseas on Behalf of the Singapore Government.

4

You have a trade/business in Singapore and you are carrying on a trade/business overseas which is incidental to your trade carried out in Singapore.

 

If you rendered your services in Singapore as part of your overseas employment, your income attributable to services rendered in Singapore is taxable

  

1  

Employment exercised in Singapore for not more than 60 days in a calendar year
Your employment income will be exempt from tax.

2

Employment exercised in Singapore for 61 to 182 days in a calendar year
You will be regarded as a non-resident. Your employment income will be taxed at either a flat rate of 15% or progressive resident rates, whichever gives rise to a higher tax.

3

Employment exercised in Singapore for 183 days or more in a calendar year
You will be regarded as a tax resident. Your employment income will be taxed at progressive resident rates.

 

For more information, you can refer to IRAS:
Locals - Overseas Income Received in Singapore
Foreigners - Working Outside Singapore