Cash allowances and deductible costs
The full cash allowance is taxable, but qualifying relocation expenses can be deducted against it as employment expenses. Excess allowance remains taxable; expenses exceeding the allowance cannot offset other income. Examples of deductible costs include family and pet airfare, freight, initial storage, temporary accommodation before employment and initial settling-in expenses. Personal meals, laundry and transport, and recurring costs after settling in, are not deductible. Retain the supporting records.
Reimbursements and leave passages
Reimbursement of moving expenses is generally not taxable, while reimbursement of personal expenses or losses on selling personal belongings is taxable. Home leave passages for expatriate employees, spouses and children are fully taxable from YA 2018, including a lump-sum cash payment for returning home. The page states that passages for a foreign employee and family on the first Singapore appointment or after termination are not taxable.
Official source
A concise, independent Apex Gateway guide based on the official English source, not a reproduction of the complete document. Consult the original for full conditions, exceptions and subsequent updates.
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