Assessable income in Singapore refers to the total income earned by an individual or a company that is subject to taxation by the Inland Revenue Authority of Singapore (IRAS). It includes income from employment, business, trade, profession, property, and any other sources. Certain types of income may be exempt from taxation or subject to specific deductions or allowances as per Singapore’s tax laws. Individuals and companies are required to report their assessable income to the IRAS for taxation purposes.
The formula for assessable income is as such:
Assessable income = Net Employment Income + Other Income – Approved Donations