Ways to Reduce Property Tax???

[showa8]

anyone here has any good idea to reduce property tax legally? for eg, declaring a smaller amount as rental and the rest as furniture rental etc? If we rent out our unit to tenant directly without going through agent, will there be any implications if the documents are not stamped?

[Jadey]

anyone here has any good idea to reduce property tax legally? for eg, declaring a smaller amount as rental and the rest as furniture rental etc? If we rent out our unit to tenant directly without going through agent, will there be any implications if the documents are not stamped?

Property tax is determined by IRAS, you cant change it.

Only thing you could do is to reduce your rental income or "other incomes" in your income tax submission by deducting what you are allowed to deduct. e.g. lost of rental, interest, repair etc.

[devilplate]

anyone here has any good idea to reduce property tax legally? for eg, declaring a smaller amount as rental and the rest as furniture rental etc? If we rent out our unit to tenant directly without going through agent, will there be any implications if the documents are not stamped?
Die die must stamp! Dun ever tink of siam rental income tax....this is singapore

Tat time bro blackjack oredi explained a long list of why we must stamp our tenancy as a landlord....

[Jadey]

Die die must stamp! Dun ever tink of siam rental income tax....this is singapore

Tat time bro blackjack oredi explained a long list of why we must stamp our tenancy as a landlord....

just curious, what must it be stamp?

[showa8]

Die Die must stamp???



Die die must stamp! Dun ever tink of siam rental income tax....this is singapore

Tat time bro blackjack oredi explained a long list of why we must stamp our tenancy as a landlord....

[devilplate]

Die Die must stamp???
Stamp ur ta

[sh]

fulfill your duty as singaporean... pay your taxes.... :(

[kingkong1984]

Go read up

https://www.iras.gov.sg/irasHome/uploadedFiles/Quick_Links/e-Tax_Guides/Property/2006-PT-4.pdf

and

http://www.iras.gov.sg/pv_obj_cache/pv_obj_id_EA6B1F1234ED7521D80A81C2CD72B7A3D1140200/filename/e-Tax%20Guide.pdf

[TKT]

Hi,

Anyone can advise this situation? :

- two private apartments
- apartment A currently own stay
- apartment B bought recently (resale)
- apartment B now being extensively renovated
- after renovation, will move from A to B
- apartment A to be rented out
- before rental, will also do some minor renovation to A
- apartment B when ready, to be own stay

Questions : for property tax deductions, can one claim :
- for renovations for apartment B too?
- for apartment A presumably is not an issue?

Thanks for your advice.

[devilplate]

can reduce ppty tax on reno??

sorry i din noe abt tat!:ashamed1:

[devilplate]

fulfill your duty as singaporean... pay your taxes.... :(

also to protect urself from habouring illegal immigrants

[TKT]

can reduce ppty tax on reno??

sorry i din noe abt tat!:ashamed1:


errr... I mean as form of tax deduction? :ashamed1:

[devilplate]

errr... I mean as form of tax deduction? :ashamed1:

from my understanding, can only reduce rental income tax from reno

ppty tax cannot deduct.....unless ur unit cannot find tenants den can claim during the vacant period....

[proud owner]

from my understanding, can only reduce rental income tax from reno

ppty tax cannot deduct.....unless ur unit cannot find tenants den can claim during the vacant period....

renov cannot be deducted from rental income ..FOR FIRST TENANT..

simple logic..you are to provide a livable unit to tenant..so cannot claim

howvever ..for second/subsequent tenants..

you can claim cost for defects , replacement etc ..

[TKT]

from my understanding, can only reduce rental income tax from reno

ppty tax cannot deduct.....unless ur unit cannot find tenants den can claim during the vacant period....


You're right... i got mixed up between property tax and tax on rental income... Will have to think about it.

Thanks anyway.

[howgozit]

I totally agree that the TA must be stamped. This is not just to fulfill your tax obligations but also to protect yourself in the event of a dispute with your tenant or your agent. However, this also means that the rental income is revealed to the government.

Some landlords split the rental into two components. Rental of unit and rental of contents (ie. furnishing... etc). Taxes are declared on unit rental only.

There is a slight risk that it may be considered evasion of tax though nobody has been brought to task by IRAS for it. In addition, there may be also complications with your tenant, especially when it comes to renewal. From my experience, most corporate tenants don't really care about the TA structure as long as the escape clause for repatriation is included.

Cheers!

[leslens]

I thought the property tax is based on both rental plus furnishings now

and u cant declare more furnishings' rental to reduce the property taxes now since its based on the combined sum?

[howgozit]

I thought the property tax is based on both rental plus furnishings now

and u cant declare more furnishings' rental to reduce the property taxes now since its based on the combined sum?

Apologies, I was refering to income tax under other income where you are supposed to declare your rental income. The figure is not automatically transferred from your TA when you stamp the agreement. So the amount you declare is up to your integrity.

The rental income you declare is rarely questioned. If it is ridiculously low, IRAS may question it and you have to show proof and there's where your TA comes in.

btw, you can structure your TA anyway you want, but what you declare in taxes is a seperate matter.

Property tax is determined by its annual value calculated by IRAS. That value can be contested by you if you think it is too high. You can write in to have it devalued to pay lower property taxes. But you have to justify why so.

Cheers