The Inland Revenue Authority of Singapore (IRAS) said on 21 October 2026 that it has identified over 3,000 taxpayers making employment expense claims similar to those in misleading messages being circulated. The messages encourage false or incorrect claims.
3,000+Taxpayers identifiedClaims similar to circulating messages, to date
3 timesAdditional tax and penaltiesUp to three times the tax undercharged
S$10,000Maximum court fineOr up to three years' jail, or both
Source: IRAS, media statement on employment expense claims, 21 October 2026.
Main points
- Taxpayers whose claims need review have been or will be contacted and asked for supporting documents.
- Unsupported claims will be disallowed, and deliberate false claims may face penalties and enforcement action.
- Taxpayers with valid, accurate and verifiable claims need not be concerned that their claims will be disallowed, IRAS said.
What this means for you
If you are an employee
- Only expenses incurred wholly and exclusively for official duties, not reimbursed by your employer, not private or capital in nature, and supported by records such as receipts can be deducted. Estimates are not accepted.
- If you claimed something that does not qualify, IRAS asks you to amend or withdraw it through its 'Amend Tax Bill' digital service now.
- Unsupported claims will be disallowed, and additional tax and penalties of up to three times the tax undercharged may be imposed. See what tax you pay with the take-home pay calculator.
If you are an employer
- Expenses you reimburse cannot also be claimed by your staff as employment expenses.
- Staff who claim client meals, client travel or work phone and internet subscriptions must keep supporting documents such as receipts; IRAS may ask for them.
- For pay benchmarks by job, see the Singapore salary guide.
Download
Additional tax and penalties can reach three times the tax a false claim saves
What can and cannot be claimed
IRAS listed these as examples of expenses that cannot be deducted:
- personal meals, housing rent, subscription fees, and phone or internet bills;
- public transport between home and the workplace;
- private car expenses, for cars with plates starting with "S", even if the car is used for work;
- mobile phones, computers and other devices bought for work.
Annex B to the statement gives examples that can be deducted if all the general rules are met.
| Type | Can be claimed | Cannot be claimed |
|---|---|---|
| Entertainment | Meals paid for clients at business meetings, excluding your share | Your own meals, including when working overtime |
| Transport | Public transport between your office and a client's office | Public transport between home and office |
| Overseas travel | Your air tickets and hotel to meet clients overseas | Tickets and hotel for family members who went with you |
| Phone and internet | Phone or internet subscription for work, such as a separate work account | Buying a phone or computer; bills for private use |
| Other | Fees to professional bodies; religious dues authorised by law | Hobby club fees not related to your job; expenses with a private element, such as housing rent, personal grooming or gifts |
Penalties
- Additional tax and penalties of up to three times the tax undercharged may be imposed.
- If you are charged in court, the fine can be up to S$10,000, a jail term up to three years, or both.
- IRAS also asked the public not to create, circulate or act on messages that encourage false claims.
Your numbers
| Chargeable income | Marginal tax rate | Tax saved by a S$2,000 claim | Cap on additional tax and penalties |
|---|---|---|---|
| S$60,000 | 7% | S$140 | S$420 |
| S$100,000 | 11.5% | S$230 | S$690 |
| S$140,000 | 15% | S$300 | S$900 |
Foundific calculations, using the resident rate on chargeable income above S$40,000 up to S$80,000 (7%), above S$80,000 up to S$120,000 (11.5%) and above S$120,000 up to S$160,000 (15%).
What we don't know yet
IRAS did not say how many claims have been disallowed so far, how much tax is involved, or when its reviews will end.
What to do next
- Check each claim against Annex B on the IRAS statement.
- Correct a wrong claim through the 'Amend Tax Bill' digital service. If you cannot correct it there, submit a request to withdraw the claim or contact IRAS by live chat.
- Keep receipts and invoices for any claim you make, and ask IRAS before claiming if you are unsure.
- See your tax and CPF on a salary with the take-home pay calculator.
- IRAS gave no date for its next update.
Related guides
Sources
IRAS, media statement on employment expense claims, 21 October 2026
- IRAS, IRAS Warns Against False, Incorrect or Unsupported Employment Expense Claims Media statement, 21 October 2026, with Annex A and Annex B. Copies kept in data/sg/iras/raw.
- IRAS, Individual Income Tax rates Resident rates used in the worked table.
