Last reviewed: 19 May 2026

Rental Income Tax Singapore 2026: IRAS Rules, Deductibles, and How to File

By Winfred Quek · CEA R073319H · Crestbrick

Rates and thresholds change. The current figures are kept in one place: the Singapore property rules reference.

Facts verified: May 2026 · Sources linked below

How Rental Income Is Taxed: The Legal Basis

Under Section 10(1)(f) of Singapore's Income Tax Act, rental income from immovable property in Singapore is a taxable source of income. It is taxed at your personal income tax rate, added to your employment income, dividends, and other income sources to determine total assessable income for the year.

Rental income is assessed on a calendar year basis (Year of Assessment follows the preceding calendar year). Rent received in 2025 is assessed in YA 2026, declared by 18 April 2026 for paper filing (30 April 2026 for e Filing). The tax payable is typically due by November of the assessment year.

IRAS rental income tax rate 2026: Singapore Personal Income Tax Rates (YA 2026)

There is no separate IRAS rental income tax rate table. Net rental income is simply added to your other income and taxed at your ordinary marginal personal income tax rate, shown below.

Net rental income is added to your other taxable income and the combined figure determines which tax bands apply. A person earning $120,000 salary and $30,000 net rental income has $150,000 total assessable income: the rental income is taxed at the 15% marginal rate applicable above $120K.

Rental deductible expenses: the complete list of claimable expenses on rental property

Full Rental Income Calculation: Worked Example

How to File Rental Income: Step by Step

Property Tax vs Income Tax: Two Separate Obligations

Property tax itself has its own payment mechanics, GIRO instalments, deadlines, and what happens if you miss one, covered separately in my guide to IRAS property tax payment methods and deadlines.

Capital Allowances on Rental Property in Singapore

Singapore does not permit a capital allowance on the building cost of a residential rental property, and there is no depreciation claim against the structure itself, unlike Australia or the UK where landlords can claim a building write off. This is the line that trips up landlords who have researched overseas rental tax rules and expect a similar mechanism here.

The only depreciation IRAS allows on a rental property is on the furniture and fittings inside the unit, claimed over their useful life, typically 5 years, the same treatment shown in the deductions table above. A $50,000 furniture package works out to about $10,000 a year in deductions over 5 years. The condo or flat structure itself, however much it cost, generates no equivalent yearly deduction. Renovation costs and structural improvements sit in the same non deductible category as the building: capital in nature, not a revenue expense against rental income, regardless of how long you hold the property.

Tax Planning Strategies for Singapore Landlords

• Hold rental property in the lower income spouse's name. If one spouse earns $80,000/year and the other earns $200,000/year, placing the investment property in the lower income spouse's name means rental income is taxed at 7% (marginal rate at $80K band) rather than 18 to 19% (marginal rate at $200K band). On $25,000 net rental income, the tax saving is approximately $2,750/year.
• Maximise deductible interest before loan repayment. In the early years of a mortgage, the interest portion is high which means a larger deduction. Consider the tax impact before making lump sum loan prepayments that would reduce your deductible interest.
• Claim all furniture depreciation systematically. Furniture and fittings depreciation is often under claimed. Make a full inventory of furnished items at tenancy start with purchase prices, and claim annual depreciation consistently. A $50,000 furniture package yields $10,000/year in deductions over 5 years.
• Use SRS contributions to reduce overall taxable income. Supplementary Retirement Scheme (SRS) contributions reduce your total assessable income dollar for dollar (up to $15,300/year for SC/PR). This can push your combined income into a lower marginal bracket, reducing the tax rate applied to your rental income.

Frequently Asked Questions

Do I need to declare rental income in Singapore?

Yes. All rental income from Singapore property must be declared in your annual income tax return under Section 10(1)(f) of the Income Tax Act. This includes rent from HDB flats, private condos, landed property, and commercial premises. Failure to declare rental income is an offence under the Income Tax Act and can result in penalties of up to 200% of the tax undercharged, plus prosecution in serious cases.

What is the tax rate on rental income in Singapore?

Rental income in Singapore is taxed as personal income at your marginal income tax rate. There is no separate flat rental income tax rate. Singapore uses a progressive tax system: 0% up to $20,000, 2% on the next $10,000, rising to 24% above $1,000,000. For most landlords with combined income (salary plus rental) of $100,000 to $200,000, the marginal rate on rental income is typically 11.5% to 18%.

What expenses can I deduct from rental income in Singapore?

IRAS allows deduction of mortgage interest (not principal), property tax, agent commission for leasing, maintenance and repair costs (not improvements), depreciation of furniture and fittings, fire insurance, and other direct expenses incurred to produce the rental income. You cannot deduct renovation costs, structural improvements, mortgage principal repayment, or personal expenses.

Is rental income from subletting an HDB room taxable?

Yes. Income from subletting rooms in your HDB flat is taxable under Section 10(1)(f). You can deduct a proportional share of mortgage interest, property tax, and maintenance costs based on the number of rooms rented vs total rooms. For example, if you rent out 2 rooms in a 4 room flat, approximately 50% of allowable expenses are deductible against the rental income from those 2 rooms.

What if my tenant pays utilities and I receive a lower rent?

If the rent reflects that the tenant pays their own utilities (and the rent is accordingly lower), you simply declare the actual rent received. The utilities paid by the tenant are neither your income nor your expense for tax purposes. If you pay utilities and the rent is higher to compensate, include utility payments in deductible expenses and the full rent in gross income.

Do I need to declare rental income if I'm renting to a family member at below market rate?

Yes, you must declare actual rent received. However, IRAS may assess the Annual Value of the property as a proxy for market rent if they determine the below market rental arrangement is primarily to reduce taxable income. Related party tenancies should be documented with genuine tenancy agreements and rent should not be so far below market as to appear artificial. IRAS has the power to substitute market rent in blatant cases.

Are there any rental income tax exemptions in Singapore?

There are no blanket exemptions from rental income tax for individuals in Singapore. However, there is a concessionary option for residential rental income: instead of claiming actual deductions, individuals may opt for a deemed 15% deduction (representing deemed expenses) plus property tax as the only deductions. This simplified method is useful if your actual deductible expenses are less than 15% of gross rental income. Most landlords with mortgage interest will do better claiming actual expenses.

Are there capital allowances on rental property in Singapore?

No. Unlike Australia or the UK, Singapore does not permit a capital allowance on the building cost of a residential rental property, and there is no depreciation claim against the structure itself. The only depreciation IRAS allows is on furniture and fittings inside the unit, claimed over their useful life, typically 5 years. Capital items like renovation, structural improvements, and the mortgage principal remain non deductible regardless of how long you hold the property.

Is property income tax the same as property tax in Singapore?

No. Property tax is charged on ownership of the property itself, based on its Annual Value, and is payable whether or not the unit is rented out. Rental income tax is charged on the rental income you actually receive, at your personal marginal income tax rate, and only applies if you have a tenant. The two are separate obligations, though property tax paid is one of the deductible expenses when you calculate your taxable rental income.

Can I claim depreciation on rental property furniture in Singapore?

Yes. Furniture and fittings inside the rental unit can be depreciated over their useful life, typically 5 years, based on the purchase cost. A $50,000 furniture package works out to about $10,000 a year in deductions for 5 years. This is separate from the building itself, which does not qualify for any capital allowance or depreciation claim.

Related: Negative Gearing Singapore Property · Property Tax 2026 Singapore · Singapore Rental Market Landlord 2026 · IRAS Property Audit Singapore