The HDB Once-a-year Benefit could be the estimated gross annual lease a assets could command if it had been rented out, excluding home furnishings, furnishings, and maintenance costs. This price, based on the Inland Earnings Authority of Singapore (IRAS), is an important factor in calculating the annual home tax and is not based upon the flat's market sale cost. IRAS testimonials the Yearly Worth of all Houses annually, considering the market rentals of similar or comparable Qualities inside the vicinity, together with the residence's dimensions, site, and ailment. Just how the Once-a-year Benefit is decided stays the exact same irrespective of whether the flat is proprietor-occupied, vacant, or rented out. Home tax is then calculated by multiplying the Annual Value by the prevailing tax rate, read more which is progressive and may differ noticeably concerning operator-occupied and non-proprietor-occupied Qualities. For owner-occupied HDB flats, tax rates are significantly decreased to stimulate residence ownership.