Overview of Tax Changes (Individual)
In Singapore Budget 2024, the Minister for Finance announced that tax changes for individual related to:
- Personal Income Tax (“PIT”) Rebate for YA 2024
- Raise Dependant’s/Caregiver’s Income Threshold
Personal Income Tax (“PIT”) Rebate for YA 2024
Given the prevailing concerns regarding the cost of living, all tax resident individuals for the Year of Assessment 2024 will be eligible for a PIT Rebate equal to 50% of their tax payable.
The maximum PIT Rebate capped at $200.
Raised Dependant’s/Caregiver’s Income Threshold
Presently, to qualify for the following dependant-related reliefs, a tax resident individual must ensure that the annual income of either the dependant or caregiver in the preceding year does not exceed $4,000:
- Spouse Relief;
- Parent Relief;
- Qualifying Child Relief;
- Working Mother’s Child Relief;
- CPF Cash Top-up Relief for top-up to the CPF account of spouse/siblings;
- Grandparent Caregiver Relief
In order to extend the benefits of these reliefs to a broader range of taxpayers supporting dependent family members, and to grant family members the freedom to engage in some employment, the income threshold will be raised from $4,000 to $8,000, effective from the Year of Assessment 2025.
