Key Takeaways
- Singapore property tax is calculated on your property's Annual Value (AV) — the estimated annual market rent IRAS assigns, not the purchase price or mortgage.
- Owner-occupied (OO) homes pay 0–32% progressively on AV bands from 1 January 2025; HDB 1- and 2-room flats with AV ≤ S$12,000 pay zero.
- Non-owner-occupied (NOO) properties pay 12–36% — materially higher, since the government treats rental income as an investment return warranting higher taxation.
- IRAS reviews AV every year against market rental data; your bill can rise even if the tax rates are unchanged (as of 2026-05).
- A one-off 2026 rebate of 15% (HDB OO) or 10% capped at S$500 (private OO) is automatically offset against the bill — no application needed.
- Landlords running buy-to-let condos should budget roughly S$2,400–S$12,000/year in property tax at prevailing NOO rates, depending on AV.
Every Singapore property owner receives a property tax bill in December — and most either ignore it or pay it without understanding the maths behind the number. That is a costly habit. A condo investor with an Annual Value of S$50,000 pays more than S$10,000 a year in property tax alone under the non-owner-occupied schedule, a figure that can swing the difference between a positive and negative cash flow rental. Understanding exactly how property tax is computed — Annual Value, progressive rate bands, owner-occupier status, AV objection rights, and the 2026 rebate — takes roughly 15 minutes and can save thousands.
What Is Property Tax and How Is It Calculated?
Property tax in Singapore is an annual wealth tax levied by the Inland Revenue Authority of Singapore (IRAS) on all properties, whether residential or commercial, owned in Singapore. Unlike income tax, it is not linked to whether you earn money from the property — it applies even if the unit sits vacant.
The Annual Value (AV) Base
Tax is not based on purchase price, market value, or outstanding mortgage. It is based on the Annual Value, which IRAS defines as the estimated gross annual rent the property would fetch if let out, excluding the cost of furniture, fittings, and maintenance fees. For example, a condo that could command S$4,000/month in rent would have an AV of approximately S$48,000 (12 × S$4,000). IRAS reviews AVs yearly against actual market rental data, so your AV — and therefore your tax bill — can change even if the tax rate schedule does not. You can check your current AV for free via IRAS's 'View Property Summary' digital service.
Two Tax Schedules: Owner-Occupied vs Non-Owner-Occupied
Singapore operates two entirely separate progressive rate tables depending on whether you live in the property yourself:
- Owner-Occupied (OO): Lower rates to reward home ownership. You must be an individual (not a company), the property must be your primary residential address as reflected in NRIC/passport, and you must apply via IRAS MyTax Portal if you are not already granted OO status.
- Non-Owner-Occupied (NOO): Higher rates for investment properties, rental units, and properties held by companies. No application required — IRAS defaults all residential properties to NOO unless the owner successfully claims OO.
Owner-Occupied Rate Table (From 1 January 2025)
The 2025 schedule improved on 2024 by raising the zero-rate band from S$8,000 to S$12,000 of AV, exempting all HDB 1- and 2-room flats entirely (as of 2026-05):
| Annual Value (S$) | Tax Rate |
|---|---|
| First S$12,000 | 0% |
| Next S$28,000 (S$12,001–S$40,000) | 4% |
| Next S$10,000 (S$40,001–S$50,000) | 6% |
| Next S$25,000 (S$50,001–S$75,000) | 10% |
| Next S$10,000 (S$75,001–S$85,000) | 14% |
| Next S$15,000 (S$85,001–S$100,000) | 20% |
| Next S$40,000 (S$100,001–S$140,000) | 26% |
| Above S$140,000 | 32% |
Source: IRAS Property Tax Rates (2025).
Non-Owner-Occupied Rate Table (From 1 January 2024, unchanged for 2025 and 2026)
Following the government's 2023 Budget announcement to address wealth inequality by raising NOO rates, the current NOO schedule is:
| Annual Value (S$) | Tax Rate |
|---|---|
| First S$30,000 | 12% |
| Next S$15,000 (S$30,001–S$45,000) | 20% |
| Next S$15,000 (S$45,001–S$60,000) | 28% |
| Above S$60,000 | 36% |
Source: IRAS Property Tax Rates — NOO. The Ministry of Finance explained the rationale: NOO properties benefit from rental income, making higher taxation appropriate as a wealth-equalisation measure.
Sample Calculations
Example A — HDB 4-room flat (OO, AV S$13,200):
AV S$12,000 × 0% = S$0 | Next S$1,200 × 4% = S$48 | Total: S$48/year
Example B — OCR condo, owner-occupied (AV S$36,000):
S$12,000 × 0% = S$0 | S$24,000 × 4% = S$960 | Total: S$960/year
Example C — CCR condo, rented out (NOO, AV S$52,000):
S$30,000 × 12% = S$3,600 | S$15,000 × 20% = S$3,000 | S$7,000 × 28% = S$1,960 | Total: S$8,560/year
Example D — High-end NOO unit (AV S$84,000):
S$30,000 × 12% = S$3,600 | S$15,000 × 20% = S$3,000 | S$15,000 × 28% = S$4,200 | S$24,000 × 36% = S$8,640 | Total: S$19,440/year
How Property Tax Works in Singapore
Editorial analysis for this section is being prepared.
Annual Value (AV) Determination
Editorial analysis for this section is being prepared.
Owner-Occupied vs Non-Owner-Occupied Rates
Editorial analysis for this section is being prepared.
Progressive Tax Rate Tables
Editorial analysis for this section is being prepared.
Property Tax Reliefs & Rebates
Editorial analysis for this section is being prepared.
Objecting to Your AV Assessment
Editorial analysis for this section is being prepared.
Property Tax for Investment Properties
Editorial analysis for this section is being prepared.
Tax Planning Strategies
Editorial analysis for this section is being prepared.
AV Revaluation, Objections, and the 2026 Rebate
How IRAS Sets and Reviews Your AV
IRAS determines AV by comparing your property's characteristics — location, size, floor level, unit type, lease term — against actual rental transactions for comparable properties in the vicinity. The process is opaque by design: IRAS does not publish the exact comparables it uses, though it will share the basis in writing if you object. AV is reviewed annually; bills are issued in December for the following year. A rise in market rents in your estate will translate into a higher AV bill even if you personally have not changed your rental terms or are living in the unit (as of 2026-05).
Between 2022 and 2024, AVs across Singapore rose sharply as rents spiked post-COVID. Many homeowners saw property tax bills double or even triple, prompting the government to offer rebates in both 2024 and 2026. While market rents have moderated since their 2023 peak, IRAS has been slow to revise AVs downward — a structural asymmetry that property owners should monitor annually.
How to Object to Your AV
If you believe your AV is too high relative to current market rents, you may file a formal objection with IRAS. The process (as of 2026-05):
- You must object within 30 days from the date of the Valuation Notice — late objections are not entertained.
- Submit via the IRAS 'Object to Annual Value' digital service, available under myTax Portal.
- Provide evidence: rental contracts for your unit, Tenancy Agreements for comparable units, or agent market-rental quotes dated within the relevant AV review period.
- IRAS typically responds within 4–8 weeks. If the objection is upheld, the AV is revised downward and overpaid tax is refunded.
A successful objection on a CCR condo with AV revised from S$72,000 to S$60,000 — a realistic adjustment given 2024–2025 rental corrections in that segment — saves approximately S$4,320/year at NOO rates. This is worth pursuing.
The 2026 One-Off Rebate
For the 2026 tax year, the government announced a one-off property tax rebate (as of 2026-05):
- Owner-Occupied HDB flats: 15% rebate, automatically offset against the bill.
- Owner-Occupied private residential: 10% rebate, capped at S$500, automatically offset.
- No application needed — IRAS applies the rebate directly in the December 2025 bill for tax year 2026.
- NOO properties do not qualify for the 2026 rebate.
Details: IRAS newsroom — 2026 Property Tax Rebate.
Claiming Owner-Occupier Status
OO status is not automatic. You must:
- Be an individual owner (not a company or trust).
- Be physically residing at the property as your principal place of residence.
- Apply via IRAS's OO tax relief portal if your status is not yet reflected.
- Notify IRAS within 15 days if you move out, vacate, or start renting — failure to do so can result in backdated NOO tax plus interest.
Many buyers who purchase and then temporarily rent out while waiting to move in inadvertently lose OO status for that interim period, resulting in a retroactive NOO bill. Plan the timing of your move carefully relative to your tax billing cycle.
Property Tax for Different Property Types
The same OO/NOO framework applies across all residential property types, but with nuances:
- HDB flats: AV is relatively low (S$10,000–S$22,000 for 4-room flats in 2025). OO owners pay minimal tax or zero. Subletting a room does not disqualify OO status — only subletting the entire flat does.
- Private condos: AV typically S$20,000–S$96,000 depending on size and location. CCR/OCR gap is meaningful — a CCR penthouse AV can exceed S$120,000, generating S$28,000+/year at NOO rates.
- Landed homes: AV can be very high (S$60,000–S$200,000+ for GCBs). Landed owners renting out should budget property tax as a significant line item in their yield calculation. See our property tax guide for condo owners for worked examples using the total cost of ownership calculator.
- Commercial and industrial: A flat 10% rate on AV applies, with no OO/NOO distinction — the residential progressive schedules do not apply.
What Property Owners Should Do Now
- Check your AV today. Log in to the IRAS myTax Portal and use 'View Property Summary'. If your AV has risen but market rents in your estate have softened, gather rental evidence and be ready to object within 30 days of your Valuation Notice.
- Confirm your OO status before December. If you own and occupy, verify the IRAS record shows OO status. A mislabeled NOO record on a S$48,000 AV condo costs approximately S$9,000 more per year than it should.
- Model NOO tax into rental yield calculations. Before buying a buy-to-let condo, run the numbers with property tax included. Use the cash flow calculator and the ROI calculator to stress-test your yield at current NOO rates. Our gross vs net rental yield guide explains which costs must be deducted to arrive at the true after-tax figure.
- Budget the 2026 rebate correctly. The 10% OO private rebate is capped at S$500 — for a condo paying S$8,000 in OO tax, that is a 6.25% reduction, not 10%. Do not over-assume the rebate in financial models.
- Weigh property tax against stamp duty in exit timing. For investors holding NOO properties with high AV, annual property tax is a holding cost that compounds. A property held 5 years at S$10,000/year NOO tax represents S$50,000 in holding costs before mortgage interest, MCST fees, and agent commissions. The total cost of ownership calculator aggregates all of these. Also see our guide on reducing property tax for investment condos.
- For landlords: separate OO and NOO units in your accounting. If you own multiple properties (e.g., live in one, rent out two), only the primary OO unit qualifies for lower rates. The rental properties each face NOO rates independently. Track each property's AV and tax bill separately — they are not aggregated. Our landlord rental yield optimisation guide covers the full cost stack, and the complete landlord handbook includes a property tax section with multi-unit worked examples.
- Annual review cadence. Set a calendar reminder every November to: (a) check if your AV has changed; (b) re-run your net yield calculation at the new AV; (c) consider whether an AV objection is worth filing when your December Valuation Notice arrives.