If this email is not properly displayed, please click here.
Humanising Finance
March 2018
3 ideas to manage personal income tax
     

3 IDEAS TO MANAGE PERSONAL INCOME TAX

 
Taxpayers in Singapore contributed a total of S$47 billion to the country's coffers in FY 16/17, according to Inland Revenue Authority of Singapore (IRAS). Taxes are used for the funding of government expenditure.

For individuals, managing personal income tax is an essential part of money management. As the tax season kicks off, now is the best time to review new methods that you can adopt to make the most of fulfilling your tax obligations.
 
1. Don’t Overlook Tax Reliefs
If you receive a letter or SMS informing you that you are selected for No-Filing Service (NFS), you are not required to file a tax return. However, the tax form is computed based on the taxpayer's auto-included income and previous year's relief claims subject to eligibility, so if you have changes to the amount of tax reliefs, you need to log in to IRAS' myTax Portal and submit your claims.

There are currently 15 personal income tax reliefs, including life insurance relief, donations, course fees relief, NSman relief and parenthood tax rebates. Do note that effective from Year of Assessment 2018, the total amount of deductible personal income tax reliefs is subject to an overall relief cap of S$80,000 per YA.

You can even save through Supplementary Retirement Scheme (SRS), a voluntary scheme to encourage individuals to save for retirement on top of their CPF savings. Contributions to SRS are eligible for tax relief, and returns from investments invested through SRS are tax-free before withdrawal.
 
2. Save More with GIRO Instalments
 
There are two main ways you can pay your tax bill, either lump-sum payment or split into 12 monthly interest-free instalments through GIRO, an electronic cashless mode of payment.

It is best to look at your monthly commitment in its entirety, taking into consideration all the other bills which you need to pay off every month. GIRO payment helps you to spread out payments for better cash flow budgeting. Keeping in mind the time value of money, you can deploy cash for investments.

The other advantage of opting for GIRO instalments is that you will not miss payment which leads to additional charges. In fact, GIRO is a popular choice among the majority of taxpayers.

If your monthly tax payment exceeds S$300, you can sign up for Maybank Save Up Programme and make this GIRO payment one of your three monthly transactions so as to earn up to 3% interest rate per annum on your savings. There are nine transactions to choose from, including salary crediting, home loan, credit card and life insurance, giving customers flexibility in structuring their Save Up Programme.
 
3. Go Digital
 
In recent years, IRAS has pushed for paperless online tax filing. Starting from this year, you can even file your income tax via mobile phone with SingPass two-factor authentication (2FA), saving you time and effort. To speed up e-filing, set up your SingPass 2FA and update your mobile number with IRAS in advance so that e-filing will be a breeze. If you are not eligible for SingPass, you may apply for an IRAS PIN online.

Remember to e-file your tax before 18 April to avoid late-filing penalties!
 
   
 
Deposit Insurance Scheme
Singapore dollar deposits of non-bank depositors are insured by the Singapore Deposit Insurance Corporation, for up to S$50,000 in aggregate per depositor per Scheme member by law. Monies and deposits denominated in Singapore dollars under the CPF Investment Scheme and CPF Retirement Sum Scheme are aggregated and separately insured up to S$50,000 for each depositor per Scheme member. Foreign currency deposits, dual currency investments, structured deposits and other investment products are not insured.

 
Always wanted to find out more about a finance-related issue? Email us at: corporateaffairs@maybank.com.sg
 
ENQUIRIES
This automated electronic direct mailer is not programmed to receive email enquiries or feedback. Please direct your enquiry to cs@maybank.com.sg instead.

UPDATES

If you would like to update your email address, login to www.maybank2u.com.sg or download this form, fill in the relevant sections, sign and mail it back to us.

UNSUBSCRIBE
As our valued customer, you get to enjoy updates of our latest offers. However, if you would like to be removed from our mailing list, please reply to this email with the word 'Unsub' in the subject title.
Security, Privacy & Client Charter | Security alert     Connect with us to
get latest updates
 
 
Copyright 2018 Maybank. All rights reserved.