Question

Dear all,

We have this freelancer who was S pass holder before we engage her service, but she is now back to her home country and we engage her service. Are we allow to pay her service fee to her Singapore Bank account?

Hope to hear from all of you/

Thank you.

JK

Reply 1

I believe, Yes, you can do that but the payments to Non Residents Professional are subject to Withholding tax.

When she pays the income tax in her own country on the income received form you then she can do the adjustment of withholding tax depends on the taxation policy between Singapore and the country she belongs to.

Please cross check with IRAS as they can give you confirmation on this.

https://www.iras.gov.sg/irashome/Other-Taxes/Withholding-tax/Non-resident-professionals/Tax-for-Non-Resident-Professionals/

Arya

Reply 2

Definitely can. As long as your company has a contract for service with her, there is no stopping how payment is made.

Willie