Employment Income

Employment income is considered to be derived from Singapore if the duties are exercised here.

Tax is imposed on all gains and profits of the employment including all allowances, fees, gratuities, share options, accommodation, motorcars and other perquisites provided.

Accommodation and related benefits, including hotel accommodation provided to employees during their employment in Singapore, are part of employment income and subject to income tax.

Taxable Value of Accommodation Benefits From YA 2020


New Taxable Value

Place of Residence or Serviced Apartment not within hotel building

It is the AV of the property less total annual rent paid by employee.
Where AV is not available, take the market rent paid by the employer (including the rent paid for the furniture and fittings) minus the rent paid by employee.

Hotel accommodation

The actual costs incurred by the employer for the hotel stay less the amount paid by employee.

Furniture and Fittings

If the property is rented by the employer, the rent for furniture and fittings should be included in the total annual rent paid by the employer.

Otherwise, furniture and fittings in a residence or serviced apartment are valued as:

  • 40% of the AV if the premises is partially furnished; or
  • 50% of the AV if the premises is fully furnished

Partially furnished - Only fittings (e.g. lightings, air- conditioner/ceiling fan, water heater) are provided.

Fully furnished - Both fittings and furniture / household appliances are provided.

Where the employers choose to use the actual rent paid under the administrative concession, they are not required to do reporting for taxable furniture and fittings.

Non-resident individuals (except for public entertainers and company directors) who exercise employment in Singapore for not more than 60 days during the year are exempt from tax in respect of income from that employment.

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