For foreigners, tax residency in Singapore usually turns on whether you stayed or worked here for at least 183 days in the calendar year. Singapore Citizens and Permanent Residents who normally live here are residents regardless of the count.
Residency matters because it decides your rates. Residents pay 0% to 24% on a progressive scale after reliefs. Non-residents get no reliefs and pay a flat 15% or more on their salary.
Who Counts as a Tax Resident
IRAS treats you as a tax resident for a Year of Assessment (YA) if you are:
- a Singapore Citizen or PR who normally resides in Singapore, apart from temporary absences; or
- a foreigner who stayed or worked in Singapore for at least 183 days in the previous calendar year; or
- a foreigner who stayed or worked here continuously for three consecutive years, even if the first or third year is under 183 days; or
- a foreign employee whose job straddles two calendar years, with a continuous stay of at least 183 days in total.
The two-year rule covers employees only. IRAS excludes company directors, public entertainers and professionals.
IRAS also treats foreigners with a work pass valid for at least a year as residents at first. It reviews this at tax clearance when the job ends. If the stay turns out to be under 183 days, you are re-assessed as a non-resident.
How IRAS Counts the 183 Days
The count is calendar days in Singapore, not working days. IRAS includes:
- weekends and public holidays
- temporary absences such as overseas leave
- business trips that are part of your Singapore job
Illustration only. An engineer arrives on 1 August 2026, starts work on 3 August and leaves after his contract ends on 31 March 2027. That is 153 days in 2026 and 90 days in 2027, under 183 in each year. His stay straddles two years and totals 243 continuous days, so under the two-year concession he is a resident for both YA 2027 and YA 2028.
The short version: Citizens and PRs living here are residents. Foreigners generally need 183 days in a year, or a job that spans two years with 183 days in total, or three consecutive years here.
Tax Residency vs Non-Resident: How the Tax Differs
| Tax resident | Non-resident | |
|---|---|---|
| Employment income | Progressive 0% to 24% | Flat 15% or resident rates, whichever is higher |
| Other income (director’s fees, rent, etc.) | Progressive 0% to 24% | 24% from YA 2024 |
| Personal reliefs | Yes, up to S$80,000 in total | None |
| Foreign income received in Singapore | Generally not taxed | Generally not taxed |
Rates are from IRAS’s tables for YA 2024 onwards, which apply to YA 2027.
Illustration only. Take a salary of $60,000 in 2026 and no other income.
- As a resident: after $1,000 Earned Income Relief, chargeable income is $59,000. Tax is $550 on the first $40,000 plus 7% on $19,000, or $1,880.
- As a non-resident: 15% of $60,000 is $9,000. Resident rates on $60,000 would give $1,950. The higher figure applies, so tax is $9,000.
Leaving a few weeks early can therefore change the bill several times over. Our guide to how income tax works has the full resident rate table, and the income tax calculator estimates resident tax.
What Residents Get Besides Lower Rates
Tax residents can claim personal reliefs, from Earned Income Relief to SRS relief. Foreigners who become residents can contribute up to $35,700 a year to SRS, against $15,300 for citizens and PRs. Non-residents cannot claim any of these reliefs.
IRAS also says foreign-sourced income received in Singapore by a resident is generally exempt, unless it comes through a Singapore partnership. Our guide to tax on retirement, dividend and overseas income covers the exceptions.
Leaving Singapore: Tax Clearance
Non-citizen employees must settle their tax before they stop work or leave. Employers must notify IRAS at least one month ahead by filing Form IR21 and must hold back money due to the employee until clearance is done.
IRAS also says unexercised share options or unvested awards are treated as gains at the point of tax clearance. Our article on who must file and when covers ordinary filing deadlines.
What To Do Next
- Count your days in Singapore for each calendar year, including weekends and business trips.
- If you are close to 183 days, check IRAS’s residency page and its worked examples before you plan travel.
- If you have share options or awards, ask your employer how they will be reported at tax clearance.
- For cross-border situations, double taxation questions or a director’s role, speak to IRAS or a qualified tax professional.
