Understanding IRAS Property Taxes in Singapore (2024–2025)
Singapore’s property market remains one of the most closely regulated in Asia. The Inland Revenue Authority of Singapore (IRAS) manages a range of property-related taxes that apply to buyers, investors, and landlords. Whether you're a citizen, permanent resident, or foreigner, it's essential to understand the various taxes involved to stay compliant and avoid costly surprises.
Singapore’s property market remains one of the most closely regulated in Asia. The Inland Revenue Authority of Singapore (IRAS) plays a key role in managing a range of property-related taxes that apply to buyers, investors, and landlords. Whether you're a citizen, permanent resident, or foreigner, it's crucial to understand the various taxes involved in property transactions to avoid costly mistakes and stay compliant.
This article breaks down the key components of property taxation in Singapore, based on the latest regulations and rates effective in 2023–2025.
1. Buyer’s Stamp Duty (BSD)
Buyer’s Stamp Duty (BSD) is a tax levied by the Inland Revenue Authority of Singapore (IRAS) on all property purchases, including both residential and non-residential properties. The tax is calculated based on the higher of the purchase price or the market value of the property, using a tiered and progressive rate structure.
BSD is payable on all property purchases, whether residential or non-residential. It is calculated on the higher of the purchase price or market value:
| Purchase Price Bracket | BSD for Residential | BSD for Non-Residential |
|---|---|---|
| First $180,000 | 1% | 1% |
| Next $180,000 | 2% | 2% |
| Next $640,000 | 3% | 3% |
| Next $500,000 | 4% | 4% |
| Next $1,500,000 | 5% | 5% |
| Remaining amount | 6% | - |
Note: Stamp duty must be paid within 14 days (if signed in Singapore) or 30 days (if signed overseas).
2. Additional Buyer’s Stamp Duty (ABSD)
ABSD is an additional tax on top of BSD, applied based on residency and the number of properties owned.
| Profile | 1st Property | 2nd Property | 3rd+ Property |
|---|---|---|---|
| Singapore Citizens | 0% | 20% | 30% |
| Permanent Residents | 5% | 30% | 35% |
| Foreigners | 60% on any residential property | ||
| Entities/Trustees | 65% on any residential property | ||
| Housing Developers | 35% + 5% non-remittable | ||
Special ABSD remission is available for citizens and PRs of Iceland, Liechtenstein, Norway, Switzerland, and the United States.
3. Annual Property Tax
Annual property tax is based on the Annual Value (AV) of the property and whether it is owner-occupied.
Non-Owner Occupied (Effective 1 Jan 2024)
| Annual Value (AV) | Tax Rate |
|---|---|
| First $30,000 | 12% |
| Next $15,000 | 30% |
| Next $15,000 | 28% |
| Next $60,000 | 36% |
Owner-Occupied (Effective 1 Jan 2024)
| Annual Value (AV) | Tax Rate |
|---|---|
| First $8,000 | 0% |
| Next $22,000 | 4% |
| Next $30,000 | 6% |
| Next $10,000 | 8% |
| Next $15,000 | 10% |
| Next $15,000 | 14% |
| Next $15,000 | 20% |
| Next $15,000 | 26% |
| Next $100,000 | 32% |
4. Rental Income Tax
If you are a non-resident landlord, net rental income is taxed at 22%, after deductions for allowable expenses.
5. Seller’s Stamp Duty (SSD)
SSD is payable if you sell a residential property within 4 years of purchase (effective 4 July 2025):
| Holding Period | SSD Rate |
|---|---|
| Less than 1 year | 16% |
| 1 to < 2 years | 12% |
| 2 to < 3 years | 8% |
| 3 to < 4 years | 4% |
| More than 4 years | 0% |
Conclusion
IRAS property tax rules are comprehensive and vary depending on your status and property type. With BSD, ABSD, annual property tax, rental income tax, and SSD in play, proper planning and compliance are essential for successful property investment in Singapore. Always consult a qualified tax or property advisor before making key decisions.
Navigating Singapore’s property tax framework requires an understanding of the layered tax structure—BSD, ABSD, property tax, rental income tax, and SSD. These taxes are designed to stabilize the housing market and discourage speculative buying.
Before making any property-related decision, consult a licensed tax advisor or real estate professional to ensure compliance and accurate tax planning.
Stay Compliant, Stay Confident!
Planning to buy or invest in property in Singapore? Make sure you're fully aware of your IRAS tax obligations. Consult a trusted tax advisor today or visit IRAS.gov.sg to learn more.