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Singapore Income Tax for Foreigners 2026: Resident vs Non-Resident Rates

Foreigners who are Singapore tax residents pay the same progressive rates as locals, from 0% to 24% under the IRAS table for YA 2024 onwards, while non-residents pay 15% on employment income or the resident rates if that gives more tax, and 24% on most other Singapore income. Everything comes down to one question: are you a tax resident for the Year of Assessment? The answer decides your rate, whether you can claim reliefs, and how your income is taxed. For the full local picture, see the Singapore income tax brackets for 2026.

Are You a Tax Resident or Non-Resident?

According to IRAS, a foreigner is treated as a tax resident for a Year of Assessment if any one of these applies:

• The 183-day test: you stayed or worked in Singapore for at least 183 days in the previous calendar year.
• The three-year test: you stayed or worked in Singapore continuously for three consecutive years, even if you were in Singapore for less than 183 days in the first and/or third year.
• The straddling test: you worked in Singapore for a continuous period straddling two calendar years and your total stay was at least 183 days, including time immediately before and after your employment. This does not apply to company directors, public entertainers or professionals.

If none of these applies, you are a non-resident for that Year of Assessment. Remember that a Year of Assessment taxes the income of the previous calendar year, so YA 2026 covers income earned in 2025.

Tax Residents: Same Rates as Singaporeans

Tax residents pay the progressive rates below. The table is taken from the IRAS individual income tax rates page, which applies it from YA 2024 onwards, with a top rate of 24% on chargeable income above $1,000,000.

Residents can also claim reliefs that reduce chargeable income. Earned Income Relief, for example, is up to $1,000 if you were below 55 as of 31 December of the previous year, according to IRAS. All reliefs together are subject to a personal income tax relief cap of $80,000 for each Year of Assessment, as set out on the IRAS tax reliefs page. IRAS also lists one-off rebates for residents: 50% of tax payable, up to $200, for YA 2024, and 60% of tax payable, up to $200, for YA 2025.

Non-Residents: Flat Rates and No Reliefs

Non-residents are taxed differently. IRAS states that employment income of a non-resident is taxed at a flat 15% or at the progressive resident rates, whichever gives the higher tax amount. Non-residents are not entitled to tax reliefs. Most other income, including rental income, pensions and director's fees, is taxed at 24%, up from 22% before YA 2024.

Use the Singapore Income Tax Calculator to estimate your tax as a resident, then compare it with the non-resident treatment above.

Worked Example: One Salary, Two Outcomes

Consider a foreign employee with $90,000 of employment income for the year, using the IRAS rates for YA 2024 onwards and, for the resident case, only Earned Income Relief of $1,000.

• As a tax resident: chargeable income is $89,000. Tax is $3,350 on the first $80,000 plus 11.5% of the next $9,000, which is $1,035, giving $4,385, an effective rate of about 4.9% of employment income.
• As a non-resident: no reliefs apply. The flat 15% gives $13,500, while progressive rates on $90,000 give $4,500. IRAS applies whichever is higher, so the tax is $13,500.

On the same salary, residency makes a difference of $9,115 in this example. That is why it is worth checking the residency tests carefully before you assume either status. Your actual figure will depend on your full income, reliefs and any rebate for the year. Note that IRAS lists its one-off rebates, such as the YA 2025 rebate of 60% of tax payable up to $200, for tax resident individuals.

The 60-Day Short-Term Employment Exemption

Some short visits are exempt altogether. IRAS explains on its tax residency page that if you are a non-resident and exercised employment in Singapore for 60 days or less in a year, your short-term employment income is exempt from tax. The exemption does not apply if you are paid as a board director, a public entertainer or a professional in Singapore.

IRAS gives a worked example: someone employed in Singapore from 3 November 2024 to 28 February 2025 is regarded as a non-resident for YA 2025 and YA 2026, because the employment period in each of 2024 and 2025 was less than 60 days, so the employment income is exempt.

Count your days carefully if your work trips are close to the threshold. Keep travel records, such as flight bookings and entry and exit dates, in case you need to support your position, and remember that the 60-day exemption and the 183-day residency test are separate rules with different consequences.

Is Overseas Income Taxed in Singapore?

For most individuals, no. IRAS states that, generally, overseas income received in Singapore, including overseas income deposited into a Singapore bank account, is not taxable, and that you do not need to declare overseas income that is not taxable. See IRAS guidance on income received from overseas.

There are exceptions. IRAS lists overseas income received through partnerships based in Singapore as taxable, along with cases where overseas employment is incidental to your Singapore employment. If you split your time between Singapore and another country for the same employer, check how IRAS treats that work before you assume it is overseas income.

Foreign tax treaties can also matter. Singapore has Double Taxation Agreements with many countries, and IRAS explains that these can affect where income is taxed. If you are taxed in two places, a treaty or foreign tax credit may help, so it is worth asking a tax professional who knows both countries.

Practical Steps for Foreign Employees

• Track your days. Keep a simple log of the days you spend and work in Singapore each calendar year, since residency is tested on actual presence. A calendar note for each arrival and departure is usually enough.
• Know which Year of Assessment applies. Income earned in 2025 is assessed in YA 2026.
• Keep income records separate. Employment income, director's fees and rental income can be taxed at different rates if you are a non-resident.
• Check your reliefs. As a resident, confirm which reliefs you qualify for before filing, rather than assuming you get the same reliefs as a Singapore Citizen.
• Use the official calculators. IRAS publishes a YA 2026 income tax calculator for tax resident individuals, and a separate calculator for non-resident individuals, on its tax rates page.
• Plan your exit. If you are leaving Singapore, check the IRAS guidance on tax clearance for foreign employees early, so that your final tax position is settled smoothly.

Frequently Asked Questions

Sources

• IRAS, Individual Income Tax rates (YA 2024 onwards)
• IRAS, Working out my tax residency
• IRAS, Tax reliefs and the $80,000 relief cap
• IRAS, Earned Income Relief
• IRAS, Income received from overseas