What happens if I am late for my Personal Taxes

In the event that you are late for personal tax filing, the following recovery actions will be taken by IRAS:
Issue an estimated Notice of Assessment
Impose a penalty for not filing
Summon you to Court
Issue a Warrant of Arrest
Take legal actions where a penalty that may be twice the tax amount assessed by IRAS may be imposed.

Phase 1: Issue an estimated Notice of Assessment (NOA)
What do you need to do?

1. Make the payment within 1 month from the date of the NOA, otherwise penalties will be imposed.
2. If you disagree with the tax amount, you will file your Form B1 immediately to get a revised tax assessment, upon which any excesses will be refunded to you.

Phase 2: Offer of Composition for Failure to File Return

Please note that if no Estimated NOA is raised, or you did not make any payment for the Estimated NOA, IRAS will issue an offer of composition to you.

What do you need to do?

1. File your tax return immediately to avoid being summon to Court
2. Pay the composition fee before the payment due date
3. Sometimes, the letter may indicate a waiver of composition fee if you file within 14 days, if you have done so within the 14 days stated, you will then not be required to pay for the composition fee.

Phase 3: Summon

If Phase 1 and 2 are ignored, Phase 3 will kick in. You will receive a summon asking you to attend court on a specified date.

What do you need to do? [Two Options]

Option 1 – Submit requested documents and pay Composition fee at least ONE Week before the Court Date as stated in the Summon Notice.

Option 2 – You are unable to file the documents and pay the fees on time, therefore, you will have to attend court on the court date.

Here is what may happen when you attend court:
1. You will be fined up to $1,000
2. You will have to submit the tax documents and fees based on a deadline given to you.

Further prosecutions will be taken against you if you are unable to comply with the filing even at this stage.

If you have outstanding tax returns for two years or more, on top of the fine of up to $1,000, there will be an additional penalty levied that is twice the amount of taxes you need to pay for the given year in default… on top of the actual taxes you need to pay. If you are unable to pay the penalty, you may be imprisoned up to 6 months.

Phase 4: Warrant of Arrest

You will be issued with a Warrant of Arrest if you have not filed your tax return (Form B1); have not paid the composition fee; and did not attend Court (Phase 1 – 3)

What do you need to do?

1. Get a new Court date by reporting immediately to Singapore Customs at 21 Keppel Road Customs Operations Command Singapore 089067 during office hours (Mon to Fri 9am to 5pm) or Singapore Police Land Divisions, with your Identity Card/Passport; and a bailor (a person who takes responsibility for you in the event that you do not appear in Court, by pledging a sum of money as bail. The bailor should be a Singapore Citizen or Permanent Resident who is at least 21 years old).
2. File your tax return (Form B1) and pay the composition fee before the Court date.
3. Attend Court on the Court date. If you fail to attend Court, your bailor will need to explain to the Court the reason for your absence. The bailor may then have to pay the bail amount to the Court.