Property: Property Tax Calculations (Owner-Occupied vs Investment)

[jcleow]

Summary

Add property tax calculations based on Singapore's progressive tax rates. Property tax varies significantly based on whether the property is owner-occupied or rented out (investment).

Why This Matters

• Annual property tax can range from $2K to $30K+ depending on property value and occupancy
• Owner-occupied rates are significantly lower than investment property rates
• This is a major recurring cost that affects financial planning

Singapore Property Tax Rates (2024)

Owner-Occupied Residential

Annual Value	Tax Rate
First $8,000	0%
Next $22,000	4%
Next $10,000	6%
Next $15,000	10%
Next $15,000	14%
Next $15,000	20%
Next $15,000	26%
Above $100,000	32%

Non-Owner-Occupied (Investment)

Annual Value	Tax Rate
First $30,000	12%
Next $15,000	20%
Next $15,000	28%
Above $60,000	36%

Example Impact

For a property with $36,000 Annual Value:

• Owner-occupied: ~$1,120/year
• Investment: ~$4,320/year (nearly 4x more!)

Proposed Data Fields

interface PropertyTaxConfig {
  isOwnerOccupied: boolean
  annualValue: number              // Estimated by IRAS based on market rent
}

Annual Value Estimation

• If rented: AV ≈ Annual Rent × 0.9-1.0
• If not rented: AV ≈ Estimated market rent × 12
• Could auto-calculate from rental income if entered

UI Integration

• Display in Purchase tab costs breakdown
• Show in recurring costs section
• Toggle for owner-occupied vs investment
• Annual property tax displayed prominently

Acceptance Criteria

• User can specify owner-occupied or investment
• Annual Value can be entered or auto-calculated from rent
• Progressive tax rates applied correctly
• Annual property tax displayed in results
• Integrated into recurring costs timeline

References

• IRAS Property Tax Rates

Labels

property, enhancement, P1

[linear]

ASS-70