Singapore Budget 2022 - Highlights
On February 18, 2022, the Finance Minister, Lawrence Wong delivered the budget speech for the year 2022. The Finance Minister (FM) stated that Singaporean economy is expected to grow at the rate of 3% to 5% in the year 2022, but it will continue to be vulnerable to pandemic-related risks and supply-chain disruptions.
The key highlights of budget 2022 are as under:
Goods and Services Tax (GST)
Personal Income Tax
Please find below the table depicting tax rates changes:
Current Income Tax Slab For years of assessment up to year 2023 |
Upcoming Income Tax Slab For the year of assessment 2024 |
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Annual Taxable Income (In SGD) |
Income Tax Rate |
Annual Taxable Income (In SGD) |
Income Tax Rate |
Up to 20,000 |
Nil |
Up to 20,000 |
Nil |
20,001 to 30,000 |
2.00% |
20,001 to 30,000 |
2.00% |
30,001 to 40,000 |
3.50% |
30,001 to 40,000 |
3.50% |
40,001 to 80,000 |
7.00% |
40,001 to 80,000 |
7.00% |
80,001 to 1,20,000 |
11.50% |
80,001 to 1,20,000 |
11.50% |
1,20,001 to 1,60,000 |
15.00% |
1,20,001 to 1,60,000 |
15.00% |
1,60,001 to 2,00,000 |
18.00% |
1,60,001 to 2,00,000 |
18.00% |
2,00,001 to 2,40,000 |
19.00% |
2,00,001 to 2,40,000 |
19.00% |
2,40,001 to 2,80,000 |
19.50% |
2,40,001 to 2,80,000 |
19.50% |
2,80,001 to 3,20,000 |
20.00% |
2,80,001 to 3,20,000 |
20.00% |
Above 3,20,000 |
22.00% |
3,20,001 to 5,00,000 |
22.00% |
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5,00,001 to 10,00,000 |
23.00% |
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Above 10,00,000 |
24.00% |
Corporate Income Tax proposals
Proposals relevant for Employer
Age Band |
From Jan. 1, 2021 |
From Jan. 1, 2022 |
From Jan. 1, 2023 |
Long term target by 2030 |
Less than 55 |
37.00% |
No change |
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More than 55 less than 60 |
26.00% |
28.00% |
29.50% |
37% |
More than 60 less than 65 |
16.50% |
18.50% |
20.50% |
26% |
More than 65 less than 70 |
12.50% |
14.00% |
15.50% |
16.5% |
More than 70 |
12.50% |
No change |
Year |
Payout period |
Employees with gross monthly wages up to SGD 2500 |
Employees with gross monthly wages more than SGD 2500 and up to SGD 3000 |
2022 |
Q1 2023 |
50% |
30% |
2023 |
Q1 2024 |
50% |
30% |
2024 |
Q1 2025 |
30% |
15% |
2025 |
Q1 2026 |
30% |
- |
2026 |
Q1 2027 |
15% |
- |
Status |
Sector(s) |
Revised minimum qualifying salary |
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Employment Pass (EP) Holders |
All sectors, except for Financial Services |
$5,000 (increases up to $10,500 for a candidate in mid-40s) |
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Financial Services sector |
$5,500 (increases up to $11,500 for a candidate in mid-40s) |
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These changes will apply to new applications from 1 September 2022, and to renewal applications from 1 September 2023.
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S Pass holders |
Minimum qualifying salary for new applications will be revised in 3 phases |
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Sector(s) |
On 1 Sep 2022 |
On 1 Sep 2023 |
On 1 Sep 2025 |
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All sectors, except for Financial Services |
$3,000 (increases up to $4,500 for a candidate in mid-40s) |
At least $3,150* |
At least $3,300* |
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Financial Services sector |
$3,500 (increases up to $5,500 for a candidate in mid-40s) |
At least $3,650* |
At least $3,800* |
*The finalized values will be announced later.
Other proposals