IRAS Tax Bracket: Simple Guide To How The Singapore Tax Bracket Works

Q: What is the IRAS tax bracket in Singapore?

The IRAS tax bracket refers to Singapore’s progressive income tax system, where different portions of your chargeable income are taxed at different rates. The Singapore tax bracket starts at 0% and goes up to 24% for the highest income tier.

Q: How does the Singapore tax bracket work?

The Singapore tax bracket works on a tiered system. You only pay the higher tax rate on the portion of income within that bracket, not your entire income. This means your effective tax rate is usually much lower than your highest marginal tax rate.

Q: What is the highest tax bracket in Singapore?

The highest tax bracket Singapore applies is 24% , applied to chargeable income above S$1,000,000 for resident individuals.

Q: Who is considered a tax resident according to IRAS?

You are a tax resident if you’re a Singapore Citizen or PR living in Singapore, or a foreigner who stayed or worked here at least 183 days , worked continuously for 3 years , or worked across two calendar years for a total stay of 183 days or more .

Q: Do non-residents use the same IRAS tax bracket?

No. Non-residents do not use the full Singapore tax bracket . Employment income is taxed at 15% or resident rates (whichever gives higher tax), while director’s fees, consultancy income, and rental income are taxed at a flat 24% .

Q: What income is tax-exempt in Singapore?

The first S$20,000 of chargeable income is tax-free for residents. Additional exemptions and reliefs may apply depending on your eligibility (e.g., NS relief, parenting reliefs, earned income relief).

Q: Are bonuses included in the Singapore tax bracket calculation?

Yes. Bonuses are considered part of your employment income and are included when calculating your chargeable income under the IRAS tax bracket .

Q: How do I estimate my tax using the Singapore tax bracket?

To estimate your tax, apply each tax bracket Singapore uses to the corresponding tier of your chargeable income. For a quick estimate, you can try Sleek’s easy-to-use tax calculator .

Q: Are companies taxed using the IRAS tax bracket?

No. Companies don’t use a tax bracket Singapore structure. Instead, they are taxed at a flat 17% corporate tax rate , with additional rebates and exemptions available.

Deepinder Kaur

5 mins read

Published:

19 November 2025

Updated:

19 February 2026

Unsure of your tax bracket?

IRAS tax bracket rules can feel confusing when you just want to know one thing: “How much tax am I actually paying?”

The good news is that Singapore employs a progressive tax system. That means different portions of your income are taxed at different rates. You’re not paying a single flat rate for your entire income.

Whether you’re a foreigner trying to figure out if you’re a tax resident or a business owner dealing with corporate tax, this guide breaks down the Singapore tax bracket for you.

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Singapore tax bracket for resident individuals

Resident vs Non-Resident Taxes in Singapore

If you are a tax resident, your chargeable income (after reliefs) is taxed using this progressive IRAS tax bracket:

Chargeable Income (S$)	Tax Rate
First 20,000	0%
Next 10,000	2%
Next 10,000	3.5%
Next 40,000	7%
Next 40,000	11.5%
Next 40,000	15%
Next 40,000	18%
Next 40,000	19%
Next 40,000	19.5%
Next 40,000	20%
Next 180,000	22%
Next 500,000	23%
Above 1,000,000	24%

Important points for residents:

The first S$20,000 is tax-free
As your income rises, only the extra dollars fall into the higher Singapore tax bracket
Tax reliefs (e.g., NSman relief, parent relief, Working Mother’s Child Relief) can pull you back down into lower bands

Skip the confusion.

Non-Resident tax rates in Singapore

If you’re a non-resident, you don’t use the full Singapore tax bracket table.

Instead, your tax is generally:

Employment income is taxed at 15% or resident rates, whichever gives a higher tax
Director’s fees, rental income, consultancy income, and most other non-resident income are taxed at a flat 24%, except for specific categories (e.g., public entertainers, certain royalties, interest payments) that have concessionary withholding tax rates
Non-residents generally cannot claim personal tax reliefs

Tax bracket Singapore for companies

Companies do not use the IRAS tax bracket for individuals.

Instead, they pay a flat corporate income tax rate of 17% on chargeable income, with generous schemes that can lower the final tax bill:

Start-Up Tax Exemption (SUTE) – Extra relief for qualifying new companies in their initial Years of Assessment
Partial Tax Exemption (PTE) – Ongoing exemption on a portion of chargeable income for most companies
CIT rebates & cash grants – IRAS provides a 50% Corporate Income Tax (CIT) rebate, capped at $40,000, and a CIT Rebate Cash Grant of at least $2,000 for eligible active companies with at least one local employee.

So, if you run a company, your headline rate is 17%, but your effective rate can be much lower after exemptions.

Why understanding the IRAS tax bracket matters for Singapore tax planning

Knowing where you sit on the IRAS tax bracket helps you:

Estimate your actual tax bill (and avoid surprises)
Plan your reliefs, deductions, and rebates
See how residency vs non-residency changes your tax
Budget better for bonuses, increments, and stock options
Make smarter decisions about staying, relocating, or incorporating

It’s a simple concept, but it underpins almost everything about how you’re taxed in Singapore.

How Sleek helps you understand the IRAS tax bracket and optimise your corporate taxes

Understanding the IRAS tax bracket is just the first step. Making the right tax decisions for yourself or your business is where it really matters.

Sleek helps founders and small business owners incorporate, manage, and stay compliant in Singapore with ease. Our team of experienced tax and accounting specialists ensures your company:

Meets all SUTE and PTE eligibility requirements, so you can confidently access the tax exemptions meant for new and growing businesses.
Files corporate taxes correctly and on time with IRAS, removing the stress and guesswork from annual tax deadlines.
Maximises every available tax relief and incentive for your business type, ensuring you don’t leave any savings on the table.
Stays compliant with Singapore’s latest regulations, while we handle the ongoing admin and paperwork for you.

Sleek gives you the freedom to focus on your goals while we make sure your company stays compliant and benefits fully from Singapore’s tax-saving opportunities.

Ready to take the stress out of corporate tax season?

FAQs on IRAS tax bracket Singapore

What is the IRAS tax bracket in Singapore?

The IRAS tax bracket refers to Singapore’s progressive income tax system, where different portions of your chargeable income are taxed at different rates. The Singapore tax bracket starts at 0% and goes up to 24% for the highest income tier.

How does the Singapore tax bracket work?

The Singapore tax bracket works on a tiered system. You only pay the higher tax rate on the portion of income within that bracket, not your entire income. This means your effective tax rate is usually much lower than your highest marginal tax rate.

What is the highest tax bracket in Singapore?

The highest tax bracket Singapore applies is 24%, applied to chargeable income above S$1,000,000 for resident individuals.

Who is considered a tax resident according to IRAS?

You are a tax resident if you’re a Singapore Citizen or PR living in Singapore, or a foreigner who stayed or worked here at least 183 days, worked continuously for 3 years, or worked across two calendar years for a total stay of 183 days or more.