Personal tax deductions

Quite alot of professionals forget that they can claim for deductions against their income for their personal income tax.

Get the information from the horses mouth! Quoted from IRAS website:

Employment expenses are expenses which are wholly and exclusively incurred in the production of your employment income.

These expenses can be deducted from your employment income, which helps you to save tax.

Who can claim

You may claim your employment expenses if you satisfy ALL conditions below:

* Expenses are incurred when you are carrying out your official duties.
* Expenses are not reimbursed by your employer.
* Expenses are not of capital/private in nature.
* Travelling expenses are not those incurred on motorcars.


Examples of allowable expenses

* Entertainment expenses incurred in entertaining clients.
* Travelling expenses incurred on public transports.
* Subscriptions paid to professional bodies or society.
* Mosque building fund, zakat, fitrah or any other religious dues authorised by law.


Examples of wrongful claims

* Entertainment expenses incurred on meals with colleagues.
* Travelling expenses incurred on motorcar.
* Travelling expenses incurred to and from home and office.


How to claim

You need to enter your employment expenses claim under 'employment expenses' in your tax form.

You have to keep complete and proper records of all expenses incurred. Estimates are not acceptable for income tax purpose.

Receipts/vouchers etc. should be kept by you. We will inform you when we require them for verification.

http://www.iras.gov.sg/irasHome/page03.aspx?id=1554