Singapore tax revenue rises 9.4% to $97.3 billion amid strong economic growth

Goods and services tax was the second-largest contributor at 22.3 per cent, bringing in $21.7 billion, up from $20 billion previously, reflecting higher consumer spending. Individual income tax collections rose to $20.9 billion from $19.1 billion, making up 21.5 per cent of total tax revenue.

Property tax and stamp duty contributed $6.9 billion and $7.3 billion respectively.

Betting tax contributed $3.6 billion, while withholding tax contributed $2.5 billion.

IRAS also processed close to $1.2 billion in grants and payouts to about 126,200 businesses during the year, through various support schemes such as the Progressive Wage Credit Scheme, Senior Employment Credit and Central Provident Fund Transition Offset.

The tax authority said compliance remained strong, with arrears for income tax, GST and property tax at 0.64 per cent of net tax assessed – slightly lower than the 0.66 per cent previously, according to the latest IRAS annual report.

It audited and investigated 8,560 cases involving taxpayers who wilfully evaded taxes, recovering about $589 million in taxes and penalties.

From April 2028, GST-registered businesses will progressively be required to join the InvoiceNow network and submit invoice data directly to IRAS, with the roll-out continuing in phases until April 2031.

IRAS is also pressing ahead with efforts to make digital services the default. Electronic payments reached an adoption rate of 99.8 per cent, while electronic refunds and eGIRO applications stood at 99.7 per cent and 96.6 per cent respectively.