Trust Income Tax Filing in Singapore

Income from Trust to be reported to IRAS

Trust Income Tax Filing or Form T Filing

Trust Income Tax Filing is required when you set up a trust to manage your wealth. Let us understand what is a Trust and how it works before we discuss further on Trust Income Tax Filing.

Notes for Trust Income Tax Filing

What is a Trust?

A Trust is an instrument which creates an arrangement where one party controls and manage another party’s assets, wealth and/or money. It not only states the party who controls and manages the trust, it also states the beneficiaries of the trust and how the trust should be managed.

How many Parties are usually Involved in a Trust Arrangement?

There are usually 3 parties involved in a Trust arrangement:

  1. Trustor – person who relinquishes his control of assets, wealth and/or money;
  2. Trustee – person who takes over the control and management of the assets, wealth and/or money; and
  3. Beneficiary – person who is benefiting or going to benefit from the Trust arrangement.

When it comes to tax filing, the Trustee must submit the Trust Income Tax Return, Form T, to IRAS by 15 April. For an estate of a deceased, the Trustee is the legal personal representative (administrator/executor) of the estate of a deceased. For Trust Income Tax Filing, the Trustee has to apply to IRAS to obtain a valid Form T.

Taxation of Trust Income and Trust Income Tax Filing

Trust Income distributed to the beneficiaries is taxed at the beneficiaries’ level (i.e. the income received from the Trust is added to the beneficiaries’ personal income when IRAS calculates their taxes). The income which remains with the Trust will be taxed at the prevailing Corporate Tax Rate (17% as at Year of Assessment 2016) and Form T has to be filed to report this income.

Trust Income Tax Filing with IRAS

Tax Efficiency on Trust Income

With proper planning, you can have a more efficient Trust Structure for Trust Income Tax payment. Contact us for a discussion on how to arrange your Trust Structure for optimal tax efficiency.

Trust Income Tax Filing is just a small part of our Tax Business. Corporate Income Tax Return Filing is the tax service which most of our clients need. If you need us to file your Form C or Form C-S for your, just call us and get a fee quote.

GST Return Filing is required by businesses when its revenue of 4 relevant quarters exceed $1million. However, businesses with lower revenue can also voluntarily register for GST. We will be happy to help you with the GST registration and the filing of GST F5 form.

If you are an employer, you would need to file the Form IR8A and Form IR21 for employees declaring the taxable income and benefits the employees have received.

If you are an employee who can qualify for special treatment like the concession under the Not Ordinarily Resident Scheme, you may wish to get a tax specialist to apply for the concession and file your individual tax return.

In addition, we provide payroll service like generating monthly payslip and contributing to CPF.

Unsure whether withholding tax is necessary for payment to non-resident individual or business? You are not alone. Many businesses need advise in withholding tax and we are pleased to provide.

If you are also looking for Accounting and Bookkeeping Service, you would be pleased to know that we provide these services.

We are a partner of Quickbooks Online and Xero Accounting Software and would be able to set up this accounting software for you if you wish to perform your bookkeeping yourself.

Registering a new business is perhaps one of the most exciting events for an entrepreneur. We will be glad to lend you any support necessary to get your business started.

Trust Income Tax Filing Service

We have specialists who are trained in filing Trust Income Tax Return as well as other Tax Returns (i.e. Corporate Tax Return, Individual Tax Return and Goods & Services Tax Return). You can have a peace of mind in managing your wealth when we are dealing with the tax issue. Please email us to discuss further on how we can support you in Trust Income Tax Return submission to IRAS.

Discuss about Trust Income Tax and Other Tax Services