Do Foreigners Need to Pay GST When Buying Products for Resale in Singapore?

If you’re a foreigner planning to run a business in Singapore, especially one that involves buying and reselling products, understanding how Goods and Services Tax (GST) works is essential. GST in Singapore is a tax on local consumption — and whether you need to pay or charge GST depends not on where you’re from, but on how your business is structured.

Let’s break it down in practical terms:

1. If You’re Buying from a Local Importer

Say you’re a foreigner who has set up a company in Singapore. You buy imported goods from a Singapore-based supplier or importer.

If that supplier is GST-registered:

• They will charge you 9% GST on your purchase.
  
• Your foreign status does not exempt you from this tax.
  
• That GST becomes part of your cost — unless your own company is GST-registered.
  

2. Should You Register for GST?

GST registration depends on your business turnover — not your citizenship.

You must register for GST if:

• Your taxable turnover exceeds S$1 million over the past 12 months, or
  
• You expect to exceed S$1 million in the next 12 months.
  

If your revenue is under that threshold, registration is voluntary, but comes with responsibilities such as quarterly filings and proper GST record-keeping.

✅Let our tax experts handle your sales tax. From registration to filing, we’ve got your compliance covered. See how we help here.

3. Reselling the Goods Locally

If you’re reselling the goods within Singapore, your sales are considered taxable supplies.

If your company is GST-registered:

• You charge 9% GST on your sales.
  
• You can claim back the GST paid on purchases (input tax).

If your company is not GST-registered:

• You do not charge GST on your sales.
• You cannot claim input tax. The GST you paid on your purchases becomes a sunk cost.
  

4. What If You’re Not Operating a Singapore Business?

If you’re a foreign buyer sourcing goods from Singapore but don’t have a registered entity here, you’re treated as a consumer for tax purposes.

• You’ll still pay 9% GST on purchases from GST-registered suppliers.
  
• You cannot claim a refund, unless it qualifies under special schemes (which are usually for tourists, not resellers).
  

To operate properly in Singapore, you’ll need to incorporate a local company and meet compliance requirements — including director and filing obligations.

Summary Table

Summary

GST is a key part of Singapore’s tax system, and foreigners running businesses here are subject to the same rules as local entities. If you’re buying imported products for resale, GST will apply — either on the purchase, the sale, or both, depending on your registration status.

Being properly set up from the start ensures you don’t overpay tax or miss compliance obligations. And that gives you more time to focus on growing your business with confidence.

Sales Tax Compliance, Handled.

Our dedicated tax team takes care of your sales tax obligations completely. From initial registration to ongoing filing, we handle everything. Get expert support and peace of mind knowing your compliance is managed professionally. Ready to simplify your tax compliance? Chat with us now, email [email protected], or use our contact form.

Here are some articles you might find helpful:

Over 60% of Businesses Used Government Support in 2025: Here’s What’s Available for You

How to Find a Startup Co-Founder in Singapore (2025 Guide)

Tax Clearance in Singapore: A Complete Guide 2025