Learn more about how to calculate and pay tax on your HDB flat, as well as the tax implications when you sublet or sell your flat.
On this page:
Tax payment for HDB owners
Property tax is a tax on ownership of property, whether it is occupied or vacant. It is different from Income Tax, which applies to the rental income earned from renting out the property.
The tax rates for owner-occupied HDB flats are substantially lower than non-owner-occupier residential tax rates.
IRAS will send out the property tax bills in batches to HDB owners between November and December for property tax in the ensuing year. The tax must be paid by 31 Jan.
All other property tax bills/notices must be paid within 30 days of the bill/notice.
If you buy a new flat directly from HDB
Within a year of taking possession of your flat, IRAS will send a valuation notice with the assessed annual value (AV) of your flat, and your first property tax bill with the amount of
property tax payable from the date of possession.
To avoid missing payment due dates, we encourage you to pay your property tax by GIRO where you can choose to enjoy up to 12 monthly interest-free instalments or a one-time GIRO deduction.
View the other available modes of payment.
Late payment
Do note that a penalty of 5% will be levied for late payment. If you are facing difficulties in paying your tax, we encourage you to reach out to us early to work out a suitable payment arrangement.
How much property tax to pay
The property tax is calculated by multiplying the Annual Value (AV) of the property with the prevailing property tax rates.
Property Tax Rates
If you live in your flat, you will pay owner-occupier tax rates. For owner-occupied HDB flats, you need not pay the first $8,000 of the AV. The remaining AV will be taxed at the lowest tier of 4%.
If you do not live in your flat, your tax will be computed based on the non-owner-occupier residential tax rates, which is progressive and starts at 12% of the AV.
Example: 4 Room HDB Flat with AV of $10,140
| Owner-Occupied: AV, and Tax Rates (effective from 1 Jan 2024 to 31 Dec 2024) | Owner-Occupied: Tax Payable |
|---|---|
| First $8,000 @0% | $0 |
| Next $2,140 @4% | $85.60 |
Tax Payable: $85.60
| Non-Owner Occupied: AV, and Tax Rates (effective from 1 Jan 2024) | Non-Owner Occupied: Tax Payable |
|---|---|
| First $10,140@12% | $1,216.80 |
Tax Payable: $1,216.80
Annual Value
IRAS assesses HDB flats by analysing the recent rental rates of the various room types. The data for rental rates is available from the e-Stamping records. In general, bigger and more centrally located flats have higher rental rates and AVs.
View the average rental rates in your estate on the HDB website.
Temporary extension of stay
If you have bought a resale HDB flat, you have to pay property tax as the new owner of the flat from the date of transfer.
HDB allows sellers to extend their stay for a default period of 3 months after the sale of the flat to the new owner. If you have agreed to this arrangement with the seller, you have to pay property tax at the higher non-owner-occupier residential tax rate for the 3 months as you are not staying in the flat. Hence, you will not enjoy the concessionary owner-occupier tax rates for the extension period. This is stated in the HDB Terms and Condition and the Letter of Acceptance and Indemnity during the temporary extension of stay application.
After the 3-month temporary extension of stay period is over, owner-occupier rates will automatically apply. Owners need not write in to IRAS to apply for the owner-occupier tax rates. Please refer to the examples on property tax payable if a temporary extension of stay is applicable:
Example 1: 3-Room HDB Flat with AV $9,240 (3-month extension from transfer date of 1 July)
| Period | AV, and Tax Rates (effective from 1 Jan 2024 to 31 Dec 2024) | Amount Payable |
|---|---|---|
| Extension Period: 1 Jul - 30 Sep | First $9,240@12% | = $277.20 |
| Owner-Occupied: 1 Oct - 31 Dec | First $8,000@0% | = $0.00 |
| Owner-Occupied: 1 Oct - 31 Dec | Next $1,240@4% | = $12.40 |
Total Property Tax Payable by Buyer = $289.60
Increase in Property Tax Payable due to Extension of Stay = $264.80
Example 2: 4-Room HDB Flat with AV $11,340 (3-month extension from transfer date of 1 August)
| Period | AV, and Tax Rates (effective from 1 Jan 2024 to 31 Dec 2024) | Amount Payable |
|---|---|---|
| Extension Period: 1 Aug - 31 Oct | First $11,340@12% | = $340.20 |
| Owner-Occupied: 1 Nov - 31 Dec | First $8,000@0% | = $0.00 |
| Owner-Occupied: 1 Nov - 31 Dec | Next $3,340@4% | = $22.27 |
Total Property Tax Payable by Buyer = $362.47
Increase in Property Tax Payable due to Extension of Stay = $306.80
Example 3: 5- Room HDB Flat with AV $12,240 (3-month extension from transfer date of 1 August)
| Period | AV, and Tax Rates (effective from 1 Jan 2024 to 31 Dec 2024) | Amount Payable |
|---|---|---|
| Extension Period: 1 Aug - 31 Oct | First $12,240@12% | = $367.20 |
| Owner-Occupied: 1 Nov - 31 Dec | First $8,000@0% | = $0.00 |
| Owner-Occupied: 1 Nov - 31 Dec | Next $4,240@4% | = $28.27 |
Total Property Tax Payable by Buyer = $395.47
Increase in Property Tax Payable due to Extension of Stay = $324.80
Use the property tax calculator to find out how much tax you have to pay during the temporary extension of stay period by changing the occupancy status to “Let-Out".
Early termination of the temporary extension of stay
If the seller terminates their extension of stay early (i.e. before 3-month period is over), you must update HDB by logging in to My HDBPage with your Singpass within 7 days of the termination. The information will be transmitted to IRAS and IRAS will notify you of the tax adjustments in the following month.
Please refer to the examples on property tax payable:
Example 1: 3-Room HDB Flat with AV $9,240 (HDB gave 3-month of extension from transfer date of 1 Jul and buyer terminates the extension stay from 1 Aug*)
| Period | AV, and Tax Rates (effective from 1 Jan 2024) | Amount Payable |
|---|---|---|
Initial 3 months extension stay period: | First $9,240@12% | = $277.20 |
Total Property Tax Payable by Buyer = $277.20
(before notification of the early termination of extension)
| Period | AV, and Tax Rates (effective from 1 Jan 2024 to 31 Dec 2024) | Amount Payable |
|---|---|---|
Actual Extension Stay Period: | First $9,240@12% | = $95.38 |
| Owner-Occupied: 2 Aug - 30 Sep | First $8,000@0% | = $0.00 |
| Owner-Occupied: 2 Aug - 30 Sep | Next $1,240@4% | = $8.13 |
Total Property Tax Payable by Buyer = $103.51
(after notification of the early termination of extension)
Total Amount of Property Tax Credit to the Buyer = -$173.69
*The buyer will start to occupy the HDB flat from 2 Aug
Subletting your HDB flat or rooms
When you sublet some of your rooms while still occupying the flat, you will be taxed at the owner-occupier tax rates. Please ensure that your tenant/agent stamps the rental agreement as "partially let" instead of "wholly let" to continue enjoying the owner-occupier tax rates.
If the owner-occupier tax rates have been accidentally withdrawn due to incorrect stamping, please apply for the reinstatement of your owner-occupier tax rates by writing to IRAS to:
- Confirm that you are living in your property
- Submit a copy of the tenancy agreement and/or approval letter from HDB on room rentals (if any).
Selling your flat
Apportionment of tax
Upon sale of your flat, HDB will notify IRAS of the transfer of the HDB flat. HDB officers or your lawyer/agent will assist in apportioning the tax amount and seeking reimbursement from the buyer. IRAS does not apportion nor arbitrate property tax liabilities between the parties.
Termination of GIRO
If you are on GIRO arrangement, please arrange to pay the property tax in full at least one week before the completion date of the sale of your flat. There will be no further GIRO deduction once you have settled the full payment.
Check
on your outstanding amount and arrange for payment at mytax.iras.gov.sg > Account > Pay Taxes.
HDB will notify IRAS of the transfer of the HDB flat and all GIRO arrangements will be automatically terminated.
FAQs
How do I inform IRAS after I have purchased a property?
You do not have to inform IRAS when you purchase your HDB flat. HDB will inform IRAS about the change in ownership.
For other property owners, when any property is sold or transferred, the seller or transferor must inform IRAS of the sale or transfer within one month.
Generally, the lawyers acting on behalf of the seller/transferor will submit the Notice of Transfer to IRAS.
I purchased an HDB flat for owner occupation and granted the sellers a rent-free extension of stay for 3 months after the resale completion. Can IRAS make an exception to apply the owner-occupier tax rates (OOTR) on my flat during the 3-month extension of stay period?
No. OOTR is a concession given only if the owner is residing in the flat. As you are not residing in the flat during the extension of stay period, OOTR will not be applicable. Whether rent is involved for the extension period is not a relevant consideration for the OOTR concession.
Sellers of HDB flats may arrange with the buyers for a temporary extension of stay in the flat for up to 3 months after the resale completion. During the extension of stay, is the seller or buyer responsible to pay the property tax?
Once the flat is transferred to the buyer, the buyer is responsible to pay any outstanding property tax. The extension of stay is a private arrangement between the seller and the buyer, and the parties may wish to liaise separately on payment matters. IRAS does not arbitrate on this matter. Please note the concessionary owner-occupier tax rates will not be applicable during the period when the seller continues to reside in the flat after the resale transaction has been completed. The lower tax rates would only apply from the date the new owner moves in to reside in the flat.
I purchased an HDB flat and allowed the previous owner to extend his stay for 3 months after the transfer of the flat. I understand that the previous owner has paid the property tax in full based on owner-occupier tax rates. Why was I notified to pay an additional property tax?
The lower owner-occupier tax rates is a concession granted only if the owner is residing in the flat. The owner-occupier tax rates will not be applied on the flat for the extension of stay period because you are not residing in the flat. During the extension of stay period, the higher residential tax rates would apply, which would result in additional property tax payable.
Can I apply owner-occupier tax rates (OOTR) on my HDB flat which is left vacant and not rented out?
No. OOTR is a concession granted only if the owner is residing in the flat. As you are not residing in the flat, OOTR will not be applicable. Your flat will be taxed at the non-owner-occupier residential tax rates if it is left vacant and not rented out.