How to Calculate Duties and Taxes on Imports to Singapore requires understanding a unique, highly efficient customs framework. Import duties and taxes depend on the product's classification (HS Code), its customs value, and the country of origin. The official authority, Singapore Customs, manages the process. For most non-dutiable goods, the duty de minimis threshold is S$400. However, the Goods and Services Tax (GST) is the primary tax, and for low-value B2C shipments, the GST de minimis has been effectively removed, meaning GST is often collected at the point of sale by the overseas vendor. The standard GST rate for 2025 is 9%.
Singapore is known for its liberal trade policy, with import duties applied only to four categories of goods: intoxicating liquors, tobacco products, motor vehicles, and petroleum products. All other goods are considered non-dutiable and are subject to a 0% import duty rate. This is a critical factor when you calculate import tax in Singapore. The primary tax applied to nearly all imports is the Goods and Services Tax (GST), which is administered by the Inland Revenue Authority of Singapore (IRAS). The GST rate for 2025 is 9%. To determine the correct duty and tax rates, all goods must be classified using the Harmonized System (HS) code, which Singapore extends into a national classification known as the HS/CA Product Code for full compliance.
The process to calculate duties and taxes on imports to Singapore begins with determining the Customs Value. Singapore adheres to the World Trade Organization (WTO) Valuation Agreement, using the Transaction Value as the primary basis for customs valuation. This is defined as the price actually paid or payable for the goods when sold for export to Singapore, with certain adjustments. For most commercial imports, this valuation basis is equivalent to the Cost, Insurance, and Freight (CIF) value, as the dutiable value must include all costs up to the point of entry.
HS Code Classification: Accurate classification using the correct HS code is essential to determine if the product falls under the dutiable categories. Incorrect classification can lead to penalties and delays in the TradeNet system, Singapore’s National Single Window for trade declarations.
Duty and Tax De Minimis Rules: The duty de minimis threshold is S$400. Shipments of non-dutiable goods valued at S$400 or less are exempt from import duty. However, the rule for GST is more complex. The standard tax de minimis value for GST relief is S$400, but the Low-Value Goods (LVG) GST regime, introduced for B2C e-commerce, mandates that GST-registered overseas sellers collect the 9% GST at the point of sale for non-dutiable goods valued up to S$400 imported via air or post. This means that for many online purchases, the GST is applied regardless of the S$400 threshold, making the effective import tax calculator Singapore value S$0 for GST relief on these specific shipments.
Trade Agreements and Origin: Singapore has an extensive network of Free Trade Agreements (FTAs). Importers can claim preferential duty rates (often 0%) under these agreements by providing a valid Certificate of Origin (COO). This is a key strategy for reducing customs duties in Singapore, especially for the few dutiable items. The entire import process is managed electronically through the TradeNet system, which is accessible via the Networked Trade Platform (NTP), ensuring efficient clearance and compliance for all commercial shipments.
Determine the Customs Value: Use the Transaction Value (typically the CIF value for commercial imports) as the basis for calculation.
Classify the Goods: Identify the correct HS/CA Product Code to confirm if the item is a 'dutiable good' (liquor, tobacco, motor vehicle, petroleum) or 'non-dutiable' (0% duty).
Calculate Import Duty: If the item is dutiable AND its Customs Value exceeds the S$400 duty de minimis threshold, apply the specific duty rate to the Customs Value. If non-dutiable, the duty is S$0.
Calculate Goods and Services Tax (GST): Apply the 9% GST rate to the total value (Customs Value + Duty Paid). Note: For B2C low-value goods (S$400 or less) from registered overseas vendors, the 9% GST is collected at the point of sale, not at import.
Scenario 1: Importing a non-dutiable item (e.g., clothing) valued at S$300 (B2C via air freight from a GST-registered overseas seller). Duty: S$0 (below S$400 duty de minimis). GST: 9% (collected by the seller at the point of sale due to the LVG GST regime).
Scenario 2: Importing a non-dutiable item (e.g., machinery part) valued at S$1,000 (B2B commercial shipment). Duty: S$0 (non-dutiable good). GST: 9% of S$1,000 = S$90 (collected at import via TradeNet).
Scenario 3: Importing a dutiable item (e.g., a motor vehicle) valued at S$50,000. Duty: Calculated based on the specific ad valorem or specific duty rate (e.g., 20% duty rate on S$50,000 = S$10,000 duty). GST: 9% of (S$50,000 Customs Value + S$10,000 Duty) = S$5,400. Total Tax/Duty: S$15,400.
Assuming all goods are duty-free: While most are, failing to declare dutiable goods (liquor, tobacco, motor vehicles, petroleum) is a serious compliance error.
Ignoring the Low-Value Goods (LVG) GST regime: Overseas sellers must register and collect the 9% GST on B2C shipments of S$400 or less, which impacts the final price for the consumer.
Using an incorrect HS Code: Misclassification can lead to incorrect duty/tax assessment, delays in the TradeNet system, and potential penalties from Singapore Customs.
Failing to use the Transaction Value: Undervaluing goods to reduce the dutiable base is a violation of Singapore’s customs valuation rules, which are based on the WTO method.
Singapore operates a highly advanced customs environment. The Low-Value Goods (LVG) GST Regime is a key special rule, ensuring that the 9% GST is applied to B2C imports of non-dutiable goods valued up to S$400, with the overseas vendor responsible for collection. This is a crucial detail for any import tax calculator Singapore query. Furthermore, the use of the TradeNet system as a single window for all trade declarations streamlines the process, but requires high data accuracy, including the correct HS/CA Product Code and customs valuation. Importers should also leverage Singapore’s extensive network of Free Trade Agreements (FTAs) to claim preferential duty treatment, which can result in 0% duty rates even for some dutiable goods, provided the rules of origin are met.
The main import tax is the Goods and Services Tax (GST), which is 9% in 2025. Import duties are only applied to a few specific categories of goods (liquor, tobacco, motor vehicles, and petroleum).
Import duty is calculated by applying the specific duty rate (ad valorem or specific) to the Customs Value (Transaction Value/CIF) of the goods. For most goods, the duty rate is 0%.
Yes, the duty de minimis threshold is S$400. However, for B2C low-value goods (S$400 or less) imported via air/post from GST-registered overseas vendors, the 9% GST is collected at the point of sale, effectively removing the GST de minimis for these shipments.
Singapore uses the Transaction Value method, which is the price paid or payable for the goods when sold for export to Singapore, adjusted to include costs like freight and insurance (CIF basis) for commercial imports, in line with the WTO Valuation Agreement.