Iras tax collection up 4.4% to $52.4b in fiscal 2018/2019

Income taxes collected in the fiscal year 2018/2019 amounted to $29.4 billion, up 7.9 per cent from $27.2 billion collected in the fiscal 2017/2018 period.
Income taxes collected in the fiscal year 2018/2019 amounted to $29.4 billion, up 7.9 per cent from $27.2 billion collected in the fiscal 2017/2018 period.ST PHOTO: KUA CHEE SIONG

SINGAPORE - The Inland Revenue Authority of Singapore (Iras) collected $52.4 billion in tax revenue in the fiscal year 2018/2019, up 4.4 per cent from a year ago.

The increase was underpinned by Singapore's 3.1 per cent economic expansion in 2018, Iras said on Monday (Sept 2) in its annual report.

Iras' collection accounted for 71.1 per cent of government operating revenue (GOR), and also 10.6 per cent of Singapore's gross domestic product (GDP).

Out of that amount, total income taxes made up 56 per cent of Iras' collection in the period. This comprises corporate income tax, individual income tax and withholding tax.

Income taxes collected in the period amounted to $29.4 billion, up 7.9 per cent from $27.2 billion collected in the fiscal 2017/2018 period.

Corporate income tax collection, which makes up 31 per cent of total tax collection, rose on better corporate earnings.

Meanwhile, individual income tax - which makes up 22 per cent of total tax collection - increased due to the introduction of an overall relief cap of $80,000 per year of assessment (YA) in YA2018, and the cessation of a one-off personal tax rebate in YA2017.

 

Goods and services tax collection, which makes up 21 per cent of total tax collection, saw a marginal increase of 1.6 per cent to $11.1 billion. This was in line with the growth observed in private consumption expenditure in 2018.

Property tax collection for the period was $4.6 billion from a lower number of property transactions.

Betting taxes, which consist of betting duty, casino tax and private lotteries duty, was at $2.7 billion, down 0.9 per cent from a year ago.

The cost of tax collection remained low at 0.80 cent for every dollar collected.

"Tax revenue collected supported funding of key government programmes to build an innovative and connected economy, a quality living environment and a caring and inclusive society," Iras said.