First announced: GST increase announced in Budget 2022 (Minister’s speech on Feb 18, 2022); staged rises effective Jan 1, 2023 (to 8%) and Jan 1, 2024 (to 9%).
Submitted by: NYBACS Compliance Desk
Singapore’s Budget 2022 announced a staged GST rise (8% on Jan 1, 2023; 9% on Jan 1, 2024).
IRAS has emphasised e-invoicing readiness and stricter GST audits post-increase.
Businesses should reprice contracts, update invoices and confirm e-invoicing capability.
What changed: Singapore’s Government announced the GST rate increases in Budget 2022 (delivered 18 February 2022): GST rose from 7% → 8% on 1 Jan 2023, then to 9% on 1 Jan 2024. Following the increase, IRAS reinforced compliance expectations — highlighting correct time-of-supply rules, invoice accuracy, and encouraging e-invoicing / digital recordkeeping to reduce disputes and audit friction.
Who’s affected: All GST-registered businesses and any entity supplying standard-rated goods/services in Singapore; importers of low-value goods and digital service suppliers also must follow updated GST rules.
Immediate actions (NYBACS checklist):
- Review pricing, invoices, and customer contracts for GST pass-through clauses.
- Confirm invoicing systems apply the 9% rate for supplies on/after Jan 1, 2024 (time-of-supply checks).
- Evaluate e-invoicing options and strengthen record retention for anticipated audits.
Practical notes: IRAS published detailed transition guidance for businesses and specific circulars for time-of-supply rules. Consider a GST health-check for systems and a short training session for billing and finance teams.
