Employers in Singapore are required to report their employee earnings to the IRAS through the IR8A form. It is mandatory that they submit the form to IRAS along with all related documents by March 1 every year.
In this blog article, you can learn all about Form IR8A, how to submit it, who needs to submit it, and about other related forms.
IR8A Form – What is it?
Form IR8A is a document that all Singapore employers must submit annually to IRAS. You must complete it for every company employee to state their earnings or income for the year.
Some supporting documents may be required with Form IR8A. They are Form IR8S, Appendix 8A, or Appendix 8B.
📖 Click here for the guide on how to file Form C and Form C-S.
IR8A Form – Who needs to submit it?
As an employer, you have to submit an IR8A form for all the employees in the following categories:
- Full-time Singapore resident employees
- Part-time Singapore resident employees
- Non-resident employees
- Resident company directors
- Non-resident company directors
- Board members receiving Committee Member Fees or Board Member Fees
- Employees who are serving the business while also receiving their pension
- Employees who no longer work at the organization but are owed earnings from the previous year
👪 Read more on taxation of international executives in Singapore.
There are some employees you do not need to file IR8A for. These excluded categories are:
- Foreign employees who were stationed overseas after clearance and did not provide services in Singapore for the rest of the year
- Foreign employees who have provided their employment services from outside Singapore for the full year
- Foreigners who have resigned from the company and/or left the country. A form IR21 is applicable in this case.
🧮 Read more on how to calculate the foreign worker quota in Singapore.
Other Supporting Forms: Appendix 8A, Appendix 8B, and Form IR8S
In addition to the IR8A, the IRAS may require a few other forms to be submitted. Whether or not you have to submit one of the following will depend on your employee’s situation.
Appendix 8A
Employers are expected to submit Appendix 8A for employees who receive benefits-in-kind such as non-cash perks or fringe benefits. This might include benefits such as a free car park, a gym membership, or free dental care. If this benefits-in-kind are exempted from Income Tax or granted an administrative concession, the employer need not include them in Appendix 8A.
Appendix 8B
Employers are expected to submit Appendix 8B for employees who received profits or gains from Employee Share Ownership (ESOW) or Employee Stock Option (ESOP) Plans. Employees who are registered with ESOW and ESOP plans can purchase shares in the company they work at. All profits and gains from these shares are also taxable.
Appendix 8S
Employers are expected to complete Appendix 8S if the company has made any additional CPF contributions to the employee and/or have or will claim a reform on it.
How to Submit Form IR8A?
You can simply submit the IR8A online through the IRAS website’s ‘Auto-Inclusion Scheme (AIS) for Employment Income’ section.
Participation in AIS is optional for any employers with less than 5 employees while it is mandatory for employers with 6 or more employees. If you are confused about your AIS registration status, you can check through the IRAS’ myTaxPortal.
There are several payroll software service providers which provide integrated IR8A submissions. Depending on the company you select, you may have to upload your IR8A.txt file on IRAS’ myTaxPortal. Some payroll software services will offer to do this on your behalf.
Even though some time is spent on the set-up process, IRAS is a much more efficient and faster way to submit your IR8A form instead of hardcopy submission. What’s more, the IR8A information on myTaxPortal is updated automatically, so you need not worry about manually updating it each year.
Not sure if your payroll software supports IR8A? You can check the List of Supporting Payroll Software Vendors for the Auto-Inclusion Scheme for Employment Income by IRAS. In case you opt for manual submission, you can download the form and fill it up.
Be informed that the manual option will become unavailable after December 2022. Another option is to provide the IR8A and supporting forms to employees before 1 March so they can submit IR8A for themselves. This is not recommended as this is not the employees’ responsibility. They may not appreciate it and, as a result, feel demotivated. Regardless of the IR8A submission method you select, be sure to give your employees copies of their IR8A records.
Get Help from a Professional
Surely, tax is a complicated topic. IR8A responsibilities portray only a small portion of a business’ larger tax picture. Employers should constantly try to minimize their overall tax obligations not only in terms of money but also in terms of time.
If you are too busy to organize your tax obligations and IR8A, you have the option to hire a tax specialist. Tax specialists strive to help save clients’ valuable time while also preserving their profit.
At Timcole, we have a team of tax experts who can assist you with all your tax needs – IR8A and much more. Tax should never feel like a burden. Instead, businesses should leverage it for their benefit. Call us now for helpful advice and answers to your tax-related questions from our tax professionals.
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