Question 1

When must a business register for GST in Singapore and what is the S$1 million threshold?

Accepted Answer

In Singapore, businesses must register for Goods and Services Tax (GST) when their taxable turnover meets certain thresholds. There are two types of registration:

Compulsory Registration:

You must register for GST if:

Retrospective basis: Your taxable turnover at the end of any calendar year (1 Jan to 31 Dec) exceeds S$1 million. You must register within 30 days of the liability arising.
 Prospective basis: You have reasonable grounds to believe that your taxable turnover in the next 12 mont

Question 2

What is Singapore's current GST rate and when did it increase to 9%?

Accepted Answer

Singapore's Goods and Services Tax (GST) rate is currently 9%, effective from 1 January 2024. This was the second phase of a planned twostep increase:

GST rate history:

Period  GST Rate

1 April 1994 (introduction)  3% 
 1 January 2003  4% 
 1 January 2004  5% 
 1 July 2007  7% 
 1 January 2023  8% 
 1 January 2024  9%

What is subject to GST:

Most goods and services supplied in Singapore.
 Imported goods (collected by Singapore Customs at the point of import).
 Imported services purchas

Question 3

How do businesses claim GST input tax on their purchases in Singapore?

Accepted Answer

GSTregistered businesses in Singapore can claim back the GST (input tax) paid on business purchases and expenses, subject to certain conditions. This is one of the main benefits of GST registration.

Conditions for claiming input tax:

You must be GSTregistered at the time of the claim.
 The goods or services must be for business use (not personal).
 You must have a valid tax invoice or import permit as supporting documentation.
 The claim must be made within 5 years from the end of the prescri

Question 4

How does the Tourist GST Refund Scheme (TRS) work in Singapore?

Accepted Answer

The Tourist Refund Scheme (TRS) allows tourists to claim a refund of the 9% GST paid on goods purchased in Singapore, provided certain conditions are met.

Eligibility criteria:

You must not be a Singapore citizen or permanent resident.
 You must be aged 16 years or older.
 You must be departing Singapore via Changi Airport or Seletar Airport.
 Goods must be purchased from retailers participating in the eTRS (Electronic Tourist Refund Scheme).
 Minimum spend of S$100 (including GST) at each pa

Categories

GST

When must a business register for GST in Singapore and what is the S$1 million threshold?

What is Singapore's current GST rate and when did it increase to 9%?

How do businesses claim GST input tax on their purchases in Singapore?

How does the Tourist GST Refund Scheme (TRS) work in Singapore?