Smart ways to plan your tax payments

If this is your first time paying tax, the amount might feel like a lot, especially if you didn’t expect it. But the good news is, you don’t need to pay everything upfront in one go. With a little planning and some help from IRAS, you can keep things chill and manageable.

Let’s look at smart strategies for staying in control during tax season.

First things first: Know how much you need to pay

Once you’ve filed your tax return, IRAS will send you a tax bill (i.e. Notice of Assessment) from end Apr onwards. This shows:

• Your total taxable income
• Any tax reliefs or deductions applied
• The amount of tax you need to pay

Always double-check the numbers. If anything looks off (e.g., you have any other income that is not shown in your tax bill or if your relief claims, including those that are pre-filled, are incorrect), you can file an amendment once via the ‘Amend Tax Bill’ digital service at IRAS’ myTax Portal within 30 days from the date stated on your tax bill. Just remember – you must still pay the tax first even if you disagree with your tax assessment. IRAS will review your amendments and issue the revised tax bill or provide an update on the status of the amendment within 15 working days.

You don’t have to pay it all at once

Enter the magic of GIRO — an automatic monthly instalment plan.

• You can pay your tax over up to 12 months interest-free monthly instalments
• Money gets deducted from your GIRO bank account automatically
• Just apply through IRAS’ myTax Portal or your bank portal or AXS stations

This makes it way easier to budget, especially if your tax bill is more than you expected.

Other payment options:

• Internet banking bill payment
• PayNow by scanning the QR code in IRAS’ myTax Portal
• AXS stations via its mobile app (i.e. AXS m-Station), website (i.e. AXS e-Station) or self-service at malls or MRT stations
• Credit card payments through third party platforms like AXS, CardUp or ipaymy – these aren’t offered by IRAS and may charge admin fees

Pick the method that fits your lifestyle and cash flow best.

Visit IRAS’ Tax Payment website for details and step-by-step user guide on how to pay using the various modes of payment.

How to budget for tax season

• Estimate your tax early using the IRAS calculator
• Set aside a portion monthly (even if GIRO isn’t used)
• Label a bank savings goal just for taxes and don’t touch it until your taxes are paid off