GST and customs clearance for Singapore imports, explained

1GST applies to the import, whoever imports it

Singapore charges GST on goods brought into the country, and it does not matter who is bringing them in or why. A GST-registered company, a sole proprietor restocking a shop and an individual buying furniture for a flat all pay it. The one exception is by air: a shipment valued below S$400 is not charged GST. Sea freight has no such allowance, whatever the value. Whether your supplier charged you tax in China is irrelevant: that is a separate tax in a separate jurisdiction and it offsets nothing here. Singapore Customs sets this out on its GST on imports page, and IRAS publishes a plain-language page for consumers importing goods into Singapore that says the same thing for individuals.

The current rate is 9%. It is collected by Singapore Customs when the import permit is cleared, before the goods are released for delivery. This guide covers the mechanics for a shipment moving through our China to Singapore service; the same rules apply whichever forwarder you use.

2It is charged on the CIF value plus duty, not the invoice alone

This is the part that surprises first-time importers. GST is not calculated on the price you paid the supplier. It is calculated on the customs value, which for imports into Singapore is the CIF value: the cost of the goods, plus insurance, plus freight to Singapore. If the goods also attract duty, the duty is added to the base as well, so GST is charged on the duty too. Singapore Customs explains the method on its page on establishing the customs value for imports.

In practice the freight you pay us is itself part of the base the 9% is applied to. A shipment worked out in your head as goods value times the GST rate will come out lower than the figure on the permit, because the freight and insurance were in the sum all along. Our LCL and air rates include cargo cover at declared invoice value, so the insurance element is already inside the freight figure we quote.

3Duty: four categories, nothing else

Duty and GST are different taxes, and people routinely run them together. Singapore applies customs and excise duty to only four categories of goods: intoxicating liquors, tobacco products, motor vehicles and petroleum products. Everything else is duty-free. Duty-free does not mean tax-free: GST still applies to the whole customs value. If you are importing homeware, garments, electronics, furniture, packaging, spare parts or machinery from China, expect GST and no duty.

Where duty does apply, it is assessed on the permit alongside the GST and both are payable before release. If you are shipping anything in the four categories, tell us at the quote stage.

4A worked example, in words

Take a restock of shelving from a factory in Guangdong, shipped by sea LCL. The taxable base is the price on the supplier's commercial invoice, plus the freight you pay us, plus the value of the cargo cover. Because shelving is not in a dutiable category, there is no duty to add. The GST due is therefore:

5How the import permit is lodged

Every commercial import into Singapore needs an import permit before the goods can be released. Singapore Customs publishes the import procedures and the types of import permits; which permit applies depends on whether the goods are dutiable, whether GST is payable at import, and whether any controlling agency is involved. For ordinary goods from China arriving as freight, the permit is one that declares the customs value and pays the GST due.

The permit is lodged with Singapore Customs by a Declaring Agent, using the commercial invoice and packing list for the shipment. It is lodged in the name of the importer, so the importer stays responsible for the accuracy of what is declared, even though the agent does the typing. On a Shiplet shipment the importer is our own company, Empirical Marine and Trading Pte. Limited, unless you choose to have your own company named instead, as explained below.

Every item on the permit is declared under an HS code, the number that tells Customs what the goods are; the HS code guide explains how to find yours, and we help. Most goods need no import licence, only this permit; the exceptions are in do you need an import licence in Singapore.

6What a Registered Declaring Agent does

A Declaring Agent is a business registered with Singapore Customs to apply for permits on an importer's behalf. Singapore Customs describes the arrangement on its page on authorising a Declaring Agent: the agent lodges the declaration and pays the duties and GST due, and the importer remains accountable for the declaration being correct.

Shiplet is a Registered Declaring Agent with Singapore Customs, under Empirical Marine and Trading Pte. Limited, UEN 202418701E. We lodge the permit ourselves rather than passing it to a third party, which means one less queue between your cargo arriving and your cargo being released. The permit and clearance are included in our published sea LCL and air rates; the GST itself is not, because it is a tax on your goods and we simply pay it at the counter and pass it on at cost.

7The documents you need

Two documents cover almost every shipment, and they are the same two Singapore Customs assesses the permit on:

• Commercial invoice. Who sold the goods, a plain description of what they are, the quantity, the unit price, the total value and the currency. This is the document the customs value is built from. A 1688 order screenshot is accepted if it shows those things clearly.
• Packing list. Carton count, dimensions and weights. This is what we check your cargo against when it reaches our hub in China, and what supports the volume on the permit.

Some goods need more: a licence or notification for food, cosmetics or health products, or an MSDS for anything with a battery or a liquid. See the restricted goods guide and contact us before your supplier ships. Upload the invoice and packing list as soon as you accept your confirmed quote and the permit never becomes the reason your goods are late.

8How GST and customs clearance for Singapore imports work with Shiplet

When your consignment arrives in Singapore we lodge the permit, Singapore Customs assesses the GST on the declared CIF value, and we pay it at clearance so the goods are released without waiting for a transfer from you. The amount appears on your invoice as a separate line, at cost: exactly what was paid to Singapore Customs, not marked up. You settle the freight and the GST together when your cargo reaches Singapore, before we deliver it, by PayNow or bank transfer. No card details, no deposit.

9GST on online purchases: Taobao and 1688 orders shipped to Singapore

Online shopping is no exception. IRAS states that GST is payable on most goods imported into Singapore, including items bought online. Where it is collected, and whether you risk paying it twice, depends on how the goods come in, what each item is worth and whether the seller is GST-registered in Singapore. IRAS sets this out on its pages on GST on imported low-value goods and consumers importing goods into Singapore. In short:

Two points are worth holding on to. The S$400 threshold for low-value goods is assessed per item, not per order. And GST should only be charged once: if you paid it at checkout and were charged again at import, IRAS says the refund comes from the seller, and you will need proof of the import GST, such as the in-payment permit issued by Singapore Customs. Where a Declaring Agent applied for the permit through TradeNet, a refund of import GST overpaid because of an incorrect value, missing items or faulty goods is requested through that Declaring Agent.

Taobao and 1688 orders shipped by sea through Shiplet

Orders sent to our Foshan hub are delivered inside China and come into Singapore by sea through us. The GST on them is therefore paid once, at import, on the permit we lodge, and you pay it to us with the freight on arrival in Singapore, by PayNow or bank transfer. You do not pay import GST on any website yourself. A platform normally charges Singapore GST at checkout only on goods it ships to Singapore itself. If a platform did charge Singapore GST at checkout on an order that then came in by sea, the refund of that is a matter for the seller or platform; tell us if you need proof of the import GST we paid on the shipment. The Taobao consolidation guide explains the hub address and shipping mark, and the import GST calculator works out the GST in advance.

10If you are GST-registered

By default we declare the import under our own company, Empirical Marine and Trading Pte. Limited: we are the importer on the import permit (the Cargo Clearance Permit, or CCP), and you pay nothing extra for that. It also means the permit is not in your name, so you cannot claim that GST back. For an individual, or a business that is not GST-registered, this changes nothing: the GST is a cost either way and belongs in your landed-cost sums from day one.

If your company is GST-registered in Singapore and the goods are for the business, you can have your own company named as the importer on the CCP instead. We still lodge the declaration, and you get a copy of the CCP to support your input tax claim. You choose it when you book: on step 4 of the quote form, business customers are asked who the importer on the permit should be. It costs extra, and the pricing page sets it out:

• Air: S$50 per shipment, on top of the per-kg rate.
• Sea LCL: S$90 per CBM instead of S$82, plus S$30 per shipment for the permit. The 1 CBM minimum still applies.
• Sea FCL: S$40 per container, on top of the container quote.

Singapore Customs explains on its page on how to obtain a customs import permit that importing in your own name needs a UEN and an activated Customs account, and that a Declaring Agent can apply for permits on your behalf. Every import permit is submitted through TradeNet.

Whether you can claim, and when, depends on your registration and the use of the goods. Check the current IRAS guidance or ask your accountant before you choose it, rather than relying on a forwarder for tax advice.

11Inspections and holds

Singapore Customs and other agencies inspect a proportion of shipments, some at random and some because of what the goods are; powders, for example, are routinely screened. If your shipment is selected, we handle the documentation, tell you the same day and give you a realistic release estimate. Inspection charges are passed on at cost.

A hold for a regulatory reason is different. If a product needs a licence, a notification or an approval that has not been obtained, the goods stay held until the paperwork is right, and no forwarder can shortcut that. Tell us what you are shipping when you get an instant quote and we will flag anything that needs arranging first.