Tax season is upon us.
Here are some of the key tax rebates and reliefs that you may be entitled to!
1. 50% Personal tax rebate *new*
As announced in Budget 2024, a Personal Tax rebate will be granted to all tax residents for Year of Assessment 2024.
The rebate will be 50% of tax payable, capped at $200.
The tax rebate is calculated based on the following:
- The amount of tax payable after double taxation relief and other credits; and
- The amount of tax payable before offsetting the Parenthood Tax Rebate.
2. Parenthood tax rebate (PTR)
To qualify, you must be a Singapore tax resident who is married, divorced or widowed in the relevant year.
The amount of rebate depends on the number of children.
You and your spouse may share the PTR. You can also transfer unutilized PTR to your spouse.
Remember to login to the myTax portal to view your PTR balance and transfer to your spouse if you wish.
3. Course Fees Relief *ending*
You may claim Course Fees Relief for the Year of Assessment (YA) 2024 if you have attended:
- Any course of study, seminar or conference in 2023 for the purpose of gaining an approved academic, professional or vocational qualification
- Any course, seminar or conference in 2023 that is relevant to your current employment, trade, business, profession or vocation
- Any course, seminar or conference between 1 Jan 2021 to 31 Dec 2022 that is relevant to your new employment, trade, business, profession or vocation in 2023
Note: Course Fees Relief will lapse from Year of Assessment 2026
You may claim the actual course fees incurred by yourself, up to a maximum of $5,500 each year regardless of the number of courses, seminars or conferences you have attended.
4. CPF Cash Top-UP Relief
To qualify for the tax relief for Year of Assessment 2024, you must:
1. be a Singapore Citizen/Permanent Resident; and
2. have made cash top-ups in 2023 under the CPF Retirement Sum Topping-Up Scheme
The maximum CPF Cash Top-up Relief per Year of Assessment is $16,000 (maximum $8,000 for self, and maximum $8,000 for family members).
You do not need to claim the CPF Cash Top-up Relief as it is granted automatically to those who are eligible based on records sent to us by the CPF Board.
5. Working Mother’s Child Relief (WMCR)
To claim WMCR for the Year of Assessment 2024, you must satisfy all these conditions in 2023:
- You are a working mother who is married, divorced or widowed;
- You have taxable earned income from employment or through pensions, trade or business, or through a profession or vocation. (Your taxable earned income is your total earned income less allowable expenses.);
- You have maintained a child who is a Singapore Citizen as at 31 Dec 2023* and has satisfied all conditions under the Qualifying Child Relief (QCR)/Handicapped Child Relief (HCR).
*Update* With effect from YA 2025, the WMCR will be changed from a percentage of an eligible working mother’s annual earned income to a fixed dollar tax relief.
6. Grandparent Caregiver Relief
To claim Grandparent Caregiver Relief (GCR) in the Year of Assessment 2024, you must satisfy all these conditions:
- You are a working mother who is married, divorced or widowed; and
- In 2023, your parent/grandparent/parent-in-law/grandparent-in-law (including that of ex-spouse) was:
a. Residing and living in Singapore;
b. Looking after any of your:
i. Children who is a Singapore citizen aged 12 and below in 2023; or
ii. Unmarried handicapped children^ who is a Singapore Citizen in 2023; and
c. Not earning annual income exceeding $4,000# from any trade, business, profession, vocation and/or employment in 2023.
3. No one else has claimed GCR on the same caregiver. The caregiver may be the subject of relief claims other than GCR (e.g. Parent Relief, Spouse Relief).
#From the Year of Assessment 2025, the annual trade, business, profession, vocation and/or employment income threshold of $4,000 will be increased to $8,000.
You may claim $3,000 on your parent, grandparent, parent-in-law or grandparent-in-law.
7. Life Insurance Relief
To claim Life Insurance Relief for the Year of Assessment (YA) 2024, you must satisfy all these conditions:
- You paid insurance premiums on your own life insurance policy*.
- The insurance company must have an office or branch in Singapore^ if your policies are taken on or after 10 August 1973.
- The total CPF contribution for the following was less than $5,000 in the year preceding the YA#:
a. Compulsory employee’s CPF contribution;
b. Compulsory MediSave/ voluntary CPF contribution as a self-employed individual.
8. SRS Contributions
Check out our SRS Guides:
- why you should top up $1 to your SRS
- SRS complete guide – what to invest with your SRS?
- SRS essential tips 101
Thanks for the insightful breakdown of tax rebates and reliefs for Singapore residents in 2024! Your clear explanations and practical examples make navigating the tax landscape much easier. looking forward to maximizing my tax savings with this valuable information.
No worries, hope it helps!