The HDB Once-a-year Benefit would be the believed gross annual rent a residence could command if it were being rented out, excluding home furniture, furnishings, and servicing service fees. This value, determined by the Inland Income Authority of Singapore (IRAS), is a vital Think about calculating the once-a-year assets tax and is not according to the flat's market place sale rate. IRAS reviews the Annual Value of all Qualities every year, making an allowance for the industry rentals of comparable or equivalent Attributes in the vicinity, in addition to the house's measurement, spot, and affliction. How the Once-a-year Price is set stays the identical regardless of whether the flat is owner-occupied, vacant, or rented out. Property tax is then calculated by multiplying the Annual Benefit via the prevailing tax level, which is progressive and may differ noticeably involving proprietor-occupied and non-owner-occupied properties. For operator-occupied HDB flats, tax fees are significantly decrease to here stimulate residence ownership.