GST for Private Tutors in Singapore: What You Need to Know

As a freelance private tutor in Singapore, your teaching business is legally classified as a sole proprietorship. While most tutors focus on lesson preparation and scheduling, tax compliance is an essential part of running a professional practice.

One of the most common questions freelance tutors have as their tuition revenue increases is: "Do I need to charge GST on my tuition fees?" Let's break down the IRAS rules for GST and how they impact you.

The GST Registration Threshold

Under the Inland Revenue Authority of Singapore (IRAS) guidelines, business entities must register for Goods and Services Tax (GST) if:

• Retrospective Basis: Your taxable turnover at the end of any calendar year exceeds SGD 1 million.
• Prospective Basis: You expect your taxable turnover to exceed SGD 1 million in the next 12 months.

For solo freelance tutors, it is rare to cross this SGD 1 million threshold (which requires making over $83,000 per month). Therefore, almost all freelance private tutors in Singapore are not GST-registered.

Rules for Non-GST Registered Tutors

If you are not GST-registered, you must follow these invoice bookkeeping rules:

• No GST Charges: You must not add GST (which is 9% as of 2024 onwards) to your tuition invoices.
• Invoice Disclaimer: It is good practice to include a disclaimer on your receipts indicating that no GST is charged. For example: "GST Not Registered: The amount stated does not include GST."
• Income Tax Filing: Even though you don't charge GST, you must declare your total gross tutoring collections as trade income under Form B/B1 during personal income tax filing season.

Tax-Ready Invoice Bookkeeping

To file your income tax accurately and handle corporate reimbursement claims from parents, you need to keep clean records. Ensure your invoices track:

1. Your tutor/business name and PayNow details.
2. Student and parent name.
3. Syllabus/subject taught and lesson dates.
4. Exact hours, hourly rates, and total balances.