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IR8A and Auto Inclusion Scheme (AIS) guide for employers (Updated for YA24)

Preparing and submitting IR8A as an employer can be a time-consuming and overwhelming process. Thankfully, you can submit your employee’s income records to IRAS electronically via the Auto-Inclusion Scheme. Find out more about IR8A, Auto-inclusion scheme as well as how a good HR and payroll software can help you with IR8A and AIS submission in this guide:

How can Payboy’s payroll module help with AIS Submission for employers?

IR8A submission

What is form IR8A?

Form IR8A, also known as Return of Employee's Remuneration, is a mandatory document submitted to the Inland Revenue Authority of Singapore (IRAS) to report your employee’s earnings for that year.

Is it compulsory to submit form IR8A?

Yes! It is required by law (under S68(2) of the Income Tax Act) for employers to submit Form IR8A for employees who are employed.

Failure to comply may result in a fine of up to $1,000 or imprisonment of up to 6 months under Section 94 of the Income Tax Act.

Do I have to complete the form IR8A for all employees as an employer?

Yes! You’ll need to complete the Form IR8A for all employees who are:

  • Full-time resident employee;
  • Part-time resident employee;
  • Non-resident employee including those who are based overseas and are required to render service in Singapore during the year (exclude details of employment income where clearance has been filed);
  • Company director (including a non-resident director);
  • Board members receiving Board/Committee Member Fees;
  • Pensioner; and
  • Employee who has left the organisation but was in receipt of income in 2021 (e.g. stock options gains).

Do note that for employees’ overseas posting that are not incidental to their Singapore employment, it is not compulsory for you to state the amount of overseas employment income in the Form IR8A.

Employers participating in the Auto-Inclusion Scheme (AIS) are only required to select “Income from Overseas Employment” under the Exempt/Remission Income Indicator.

What information do I have to submit in form IR8A?

  1. Basic Employment Details
  2. Basic Types of Income
  3. Gross salary, fees, leave pay, wages and overtime pay
  4. Bonus
  5. Director’s fee
  6. Others
    1. Allowance
    2. Gross Commission for the period
    3. Pension
    4. Lump sum payment
    5. Retirement benefits
    6. Contribution made by employer to any pension/provident fund constituted outside Singapore with/without tax concession
    7. Excess/voluntary contribution to CPF by employer
    8. Gains or profits from Employee Stock Option (ESOP) or other forms of Employee Share Ownership (ESOW)
    9. Value of benefits-in-kind

Are there other forms besides IR8A which I should take note of?

Here are some other forms to keep in mind, if you have employees who falls into the following categories

  1. Appendix 8A: Employees who were provided with benefits-in-kind
  2. Appendix 8B: Employees who derived gains or profits from Employee Stock Option (ESOP) Plans, or other forms of Employee Share Ownership (ESOW) Plans
  3. Form IR8S: This form is for when you have made excess CPF contributions on your employee’s wages and/or have claims/will claim a refund on the excess CPF contributions

When do I have to submit the IR8A form?

You’ll need to submit the IR8A form for employees who are employed in Singapore by 1st March every year.

How do I file IR8A online?

You can submit your employees’ income information to IRAS electronically via the Auto-Inclusion Scheme (AIS), by 1 March each year. Find out more about AIS in our section below.

Auto inclusion scheme (AIS)

What is the Auto-Inclusion Scheme (AIS)?

The Auto-Inclusion Scheme enables you to submit your employee’s income records to IRAS electronically, instead of a hard copy done previously.

Is it compulsory to join the Auto-Inclusion Scheme?

Yes! It is compulsory for you to join the Auto-Inclusion Scheme if you have 5 or more employees in the company.

How do I submit Form IR8A form if I have less than 5 employees?

If you have less than 5 employees, it is not mandatory to join AIS.

In that case, you’ll need to provide the hardcopy Form IR8A and appendices (where applicable) to your employees to file and submit their income tax returns. The deadline remains as 1 March.

However, you are still encouraged to join AIS. You can confirm your participation in the AIS by completing the authorisation for Submission of Employment Income Records (PDF, 1.01 MB) digital service.

How do I register for the AIS as an employer?

Here are 3 ways that you can register for AIS electronically, by accessing the myTax Portal and logging in via either of the following options:

  1. Personal Tax
  2. Business Tax
  3. Tax Agent Login 

When do I have to submit IR8A if I’m an AIS employer?

Even when you are under AIS, you’ll still need to prepare the employment income information that complies with IRAS’ format and submit it electronically to IRAS by 1 March every year.

Can I still submit employment income information via the offline AIS application?

Do note that the option to submit via the AIS offline application will end in December 2022. Employers currently using offline applications are strongly encouraged to switch to a payroll software with APIs or submit Employment Income Records at myTax Portal (Online Application).

How can I submit employment income records to IRAS electronically?

Here are some ways that you can submit your employment income records electronically–

  1. Submit via Payroll Software with AIS API service

Employers are strongly encouraged to use payroll software that is integrated with the AIS Application Programming Interface (API) Service to help them prepare and submit employment income details.

In fact, Payboy is one of the supporting payroll software vendors for AIS listed on IRAS, and we have achieved a strong rating of A for software compliance to controls. This means that Payboy’s payroll software meets the full list of 23 controls that are recommended!

The API service enables employers to submit records directly to IRAS in a convenient and efficient way through your preferred payroll software. 

  1. Submit via myTax Portal or PAT System

Employers who do not use payroll software can prepare and submit employment income information directly via IRAS’ online digital service at myTax Portal, or use the Provident and Tax (PAT) system managed by CrimsonLogic Pte Ltd.

What are the benefits of using a payroll software with AIS API service?

  1. Save time - You are able to submit employment income records to IRAS conveniently and efficiently through the payroll software
  2. Reduce human error - Using a payroll software ensures that all employee income records come from a single data source to reduce human errors
  3. Save cost with available SME grants - You can take the opportunity to adopt a payroll software by tapping on the grant support from Productivity Solutions Grant (PSG).

Why should you switch to a payroll software with AIS API service now?

As previously stated, the submission deadline is March 1 each year, so it's best to start using payroll software as soon as possible for the following reasons:

  1. Choosing the right software takes time - It is ideal to speak to a few payroll software vendors in order to make an informed decision on which software can best cater to your business’ needs and this may take up to 2-4 weeks
  2. Get your grant approved before submission deadline - Grant application takes time too and applying early will help to avoid the scenario that the grant can’t be approved in time to meet the submission deadline
  3. Give your HR team ample time to prepare for data migration - Your HR team also needs time to get familiar with the new payroll software and prepare for the data migration in time to meet the deadline

How can Payboy’s HR payroll software help with AIS Submission for employers?

Payboy is proud to be one of the supporting AIS payroll software vendors listed on IRAS with a strong rating of A for software compliance to controls! This means that our software is able to support AIS submission by:

  • Integrate directly with IRAS' server to submit employment income information through Application Programming Interface (API), and/ or
  • Generate TXT/ XML files in the required format and can be submitted using the Validation and Submission Application.

Benefits of using Payboy payroll module:

  1. 100% Compliant and 100% peace of mind
  2. Covers any work arrangement
    • Working with full timers, part timers, freelancers and contract staff? We’ll take care of the unique payroll requirements for each working arrangement.
  3. Transparent, Accurate and Simple
    • Full visibility on how payroll is calculated automatically based on shifts, attendance, leave and submitted claims, within an intuitive experience.
  4. Fully integrated with your preferred platforms
    • We’ll fit into your ecosystem seamlessly and keep your finance team happy. Check out our full list of integrations.

Are there any SME grants available for adoption of Payboy HR payroll software?

Yes Payboy is eligible under the PSG Grant! You can find our answers to your questions regarding PSG grant here.

Reach out to us if you are keen for a free demo on how we can help you save hours and give you a peace of mind on payroll and other HR matters besides IR8A submission.

Find out how you can do it all with Payboy

Reach out to us if you are keen for a free demo on how we can help you save hours and give you some peace of mind on payroll and other HR matters so that you can focus on your business and people.
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