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Singapore GST on foreign digital services

Non-resident sellers and marketplaces now liable to Goods and Services Tax obligations on B2C electronic services

The city-state of Singapore introduced its Goods and Services Tax (GST) on non-resident providers and electronic marketplaces of digital or electronic services on 1 January 2020. This applies to B2C transactions – B2B should use zero-rating reverse charge. There is GST registration threshold of SGD 100,000, with a simplified electronic Overseas Vendor Registration procedure. Non-residents require a local GST agent.

The current GST rate in Singapore is 7%.  Malaysia Sales Tax on digital services was introduced on the same date. Follow VAT Calc’s global VAT and GST on digital services tracker for live updates on indirect taxes on digital services.

What digital services are liable to Singaporean GST?

Income from the following services is liable to GST:

  • Streaming music and video
  • Apps
  • Images
  • Online gaming
  • Automated e-learning
  • Search engines
  • Online advertising
  • SaaS or cloud-based software

Determining a GST liability on digital services

Singapore has adopted popular destination basis for GST on digital services. This means the tax becomes liable if the consumer is resident or enjoys the benefit of the services in Singapore. Providers or marketplaces may use the following as evidence of GST due in Singapore:

  • Customs billing address
  • IP address of device used to download/access services
  • Bank transfer or credit card issuer’s address

Electronic marketplaces GST obligations

As well as direct sellers of digital services, facilitating electronic marketplaces will become liable for reporting GST on their third-party sellers. This excludes payment providers offering not service with promotion, terms & conditions or delivery of the services.

GST registration and compliance – Overseas Vendor Registration

There are GST registration thresholds for non-resident digital service providers or marketplaces:

  1. Singapore sales of SGD 100,000 per annum; and
  2. Global sales of SGD 1million.

Once over this threshold, the provider is obliged to register under the Overseas Vendor Registration process. Non-residents are obliged to appoint a GST tax representative to deal with the tax Comptroller. This includes obligations around the correct collections, reporting and payment of GST due.

GST filings are completed monthly. The return and GST payment is due by the end of the following month.

Preparing Singapore GST return can be complex.  VAT Calc’s single platform VAT Filer can correctly complete any country filings with verified VAT or GST transactional data from our VAT Calculator or VAT Auditorintegrated tools.

Asia Pacific VAT on digital services

Comments (click for details) Rate Date Threshold Comments
Australia 10% Jul 2017 AUD $75,000
Azerbaijan 12% Jan 2017
Armenia 20% Jan 2022 AMD 115million
Bangladesh 5% - 15% Jul 2019 B2B and B2C
Bhutan 7% Jul 2021 Nu 5million
Cambodia 10% Mar 2022 KHR 250m
China 6%-13% N/a Nil Withholding VAT; B2B and B2C
Fiji 9% TBC FJD 300,000
India 18% Jul 2017 -
Indonesia 11% Aug 2020 IDR600m or 12k customers
Japan 10% Oct 2015 JPY 10 million
Kazakhstan 12% Jan 2022 Nil
Kyrgyzstan 12% Jan 2022 Nil
Laos 7% Feb 2022 LAK 400m
Malaysia 6% Jan 2020 RM500,000
Nepal 13% Jul 2022 Rupees 2m Also 2% DST
New Zealand 15% Oct 2016 NZD 60,000
Pakistan 2% Sep 2021 Nil Marketplace Withholding VAT
Philippines 12% TBC P 3million
Singapore 7% Jan 2020 S$ 100,000
South Korea 10% Jul 2015 Nil
Taiwan 5% May 2017 NTD 480,000
Tajikistan 18% Jan 2021
Thailand 7% Sep 2021 1.8m Baht
Uzbekistan 15% Jan 2020 Nil
Vietnam 10% Dec 2020

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