Apr 26, 2020 Author: Accounts Junction
1. Requirements for filing of Tax clearance by employees - Tax clearance is required IN cases where the services rendered overseas are not incidental to the Singapore employment. If you are not a citizen of Singapore you need to file tax clearance as an employee in a Singapore.
Singapore Permanent Residents (SPR) who are not leaving Singapore permanently after ceasing employment with you.
If you reside in Singapore for more than 6 months you need to file tax as an employee.
The Singapore employer continues to pay the employee's remuneration during the said period. According to the various scenario, you need to file for tax clearance.
Non - resident of Singapore have to file for clearance after 6 months or more than a 1 years.
2. Penalty for non-compliance - The penalties for noncompliance are based on the level of negligence and can range from $100 to $50,000 per violation (or per record), with a maximum penalty of $1.5 million per year for violations of an identical provision. Violations can also carry criminal charges that can result in jail time. You may surpass through Section 155: Penalties can be granted for non-compliance with an s155 Notice. The Court can impose a fine of up to $21,000 or 2 years imprisonment for individuals, or up to $105,000 for companies.
3. Things need to be done to filing Tax clearance - You may contact on they toll-free helpline number of the tax commission at 801-297-2200 or 1-800-662-4335 and may file up for the Tax Commission to request Tax Clearance Application. To receive your customized application for tax clearance. Requested to send application forms from other sources may be denied.
4. IRAS Singapore role in same - Generally, once your non-Singapore national worker ceases employment with you in Singapore, goes on a far off posting or plans to depart Singapore for over 3 months, you want to send word IRAS a minimum of one month ahead and withhold all monies thanks to the worker from the date you're alert to his close surcease of employment or departure from Singapore. This method is understood as tax clearance. However, there are some things wherever tax clearance isn't needed to undergo the subsequent steps to seek out additional.
1. Check out whether Tax Clearance is needed or not
2. Inform IRAS via type IR21
3. Withhold Payment thanks to Your worker
4. IRAS Processes Tax Clearance
5. Receive Clearance Directive from IRAS
6. worker Receives account (Notice of Assessment
