Company Hold Salary For Tax Government Purposes

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minzsut Active member

Member since 13 April 2023

minzsutActive member27 May 2023 08:49:37

Hi All,

Just wanna get more insights about this. Long story short, I am moving out from my current company to another company. This month is gonna be my last service. My employer just told me that he is gonna hold some of my salary, for government purposes. They told me, Just in case, if there is any outstanding tax like personal income tax that I need to pay. But actually, I have paid my income tax.

Just wanna check, is it normal for employer to hold partial amount of the salary for this purposes? This is my first experience and I have no idea that this exists.

00DS---- Member

Member since 13 April 2023

00DS----Member27 May 2023 09:18:27

It is normal for this to happen. IRAS will send an all clear notification to your employer then they will release the last salary + whatever bonus u have left.

minzsut Active member

Member since 13 April 2023

minzsutActive member27 May 2023 09:23:53

Hi @00DS-

Noted.

Thank you for the clarification!

surya2k VIP Member

Member since 22 June 2014

surya2kVIP Member27 May 2023 14:22:45

2890

If you want company won’t hold you salary or hold partial salary, then write a letter to IRAS shows your new employer’s offer letter and IPA letter that you are not leaving Singapore instead moving from a present employer to a new employer.

IRAS will send a reply saying that they already informed to your employer to release the salary. Same reply mail send to your current HR and they will release the salary (either partially or fully).

Note: You have paid last financial year tax amount. Your tax for current financial year is yet to be computed by IRAS. They will compute once your HR provides all the salary and benefits details to IRAS for this financial year.

minzsut Active member

Member since 13 April 2023

minzsutActive member28 May 2023 03:24:09

Hi @surya2k,

Noted for the explanation.

Thank you.

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