Singapore collected S$97.3 billion in tax revenue, up 9.4%

Singapore collected S$97.3 billion in tax revenue, up 9.4% The total tax revenue collected accounts for 74.8 per cent of the government’s operating revenue and 12.3 per cent of Singapore’s GDP. SINGAPORE: Singapore’s tax revenue rose 9.4 per cent from the previous year to a total of S$97.3 billion (US$76.8 billion) in the 2025/2026 financial year, according to official data released on Friday (Sep 4). In its annual report, the Inland Revenue Authority of Singapore (IRAS) attributed the rise in tax revenue to “stronger economic activity and consumer spending”. The total tax revenue collected accounts for 74.8 per cent of the government’s operating revenue and 12.3 per cent of Singapore’s GDP. “Tax revenue remains a key contributor to Singapore’s nation‑building efforts. It enables us to build strong and inclusive communities, enhance public services and infrastructure, and support sustainable economic growth,” IRAS said. The arrears rate for Goods and Services Tax (GST) as well as income and property taxes remained low at 0.64 per cent of net tax assessed, indicating “both the strong commitment of taxpayers and effective enforcement to uphold compliance”. While tax compliance remains high, IRAS added, it will continue to take "firm action" against those who wilfully evade tax. In FY2025/26, IRAS audited and investigated 8,560 cases, recovering about S$589 million in taxes and penalties. BREAKDOWN OF TAX REVENUE Corporate income tax increased to S$34.4 billion in FY2025, up from S$30.9 billion in the previous fiscal year, remaining the largest source of revenue at 35.4 per cent of total tax collection. GST was the second-largest contributor at 22.3 per cent, with S$21.7 billion collected, up from S$20 billion the previous year. Individual income tax accounted for the third-largest share of revenue collection at 21.5 per cent, amounting to S$20.9 billion, up from S$19.1 billion the previous year. Meanwhile, property tax and stamp duty contributed 7.1 per cent (S$6.9 billion) and 7.5 per cent (S$7.3 billion), respectively. In the 2025/2026 financial year, IRAS processed nearly S$1.2 billion in disbursements to around 126,000 businesses, strengthening support for businesses, workers and jobs. These were processed under various schemes, which included about S$791 million under the Progressive Wage Credit scheme, S$298 million under the Senior Employment Credit scheme and S$43 million under the CPF Transition Offset scheme.