Capital Gain Tax
No Capital Gain Tax in Singapore

Singapore does not have a capital gain tax. If for example, you sell shares, the gain or loss on the sale of the shares will not be taxable. On the other hand, dividend income, if it is not under the Singapore one tier tax system is taxable.

Gain from sale of property is a capital gain and is not subject to tax. However, when a person is deemed to be trading in properties, the gains from the sale of property in Singapore is an income and is subject to tax. It depends on the circumstances, whether a person is deemed to be carrying on a trade.

The Inland Revenue Authority of Singapoe IRAS applies a set of guidelines known as the "badges of trade". IRAS will considers all facts of each case to determine whether the gains are taxable.

Examples of the criteria are as follows:

• Frequency of transactions (buying and selling of properties)
• Reasons for acquiring and selling of property
• Financial means to hold the property for long term
• Holding period

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