I am writing in to share my story related to SAF.
I am a Singapore citizen, did the armies for 2 years and currently required
to go back for reservist every year. I have been back for than 5 times for my
I am a self employed, currently doing a few small businesses. Therefore, for
every reservist, I have to submit for my make up pay claim in order to get my
make up pay. It is only recently I realized something to my surprise I
thought I share this with the rest of the national servicemen.
In 2015, I attended a 14 days in camp training and as usual, I submit my
document for my make up pay claim. As 2015 has not come to an end during
then, I do not have my tax documents(Notice of Assessment) for 2015 ready.
Therefore, I have to use the previous years NOA for my make up pay claim. I
believe this practice has always been the case as I have been doing so for a
few years now and I believe many self employed will understand what I am
So 2014 has been a pretty good year for me, my annual income for that year
was around 200k (just a indicative figure). Therefore, the make up pay claim
for that particular 2 weeks was a pro rate of the 200k / 365 days X 14. I am
not sure how they calculate but I suppose it is like this.
Going on to 2015, which hasn’t been a good year for me. My income for that
year has reduced drastically to 60k(indicative). And as usual, I file my
income tax with iras this year(2016) sometime during April.
So now my NOA for 2015 is ready and just like everyone else, I have to make
tax payments. I then hear from Mindef that my income is for 2015 is much
lesser than 2014 so therefore, I have to pay them back the pro rated balance.
200000 / 365 X 14 = $7671
60000 / 365 X 14 = $2301
I have to pay the differences of $5370. I am like what the f***?
After hearing their explanation, I sort of understand their stand. As your
NOA for that year of reservist can never be ready within that year. We always
have to use the previous year’s NOA for our make up claim which is inaccurate
and based on a rough estimation. Okay, this I can understand.
So now that I have declared my income tax for 2015 and they realized it is
different from 2014 and they are asking me back to the difference of the pro
rated sum. I think I can accept this as I really did not make as much as 2014
but I am only very surprised because it is really new to me and I dont think
many self employed ns men knows about this as well.(I ask my army friends
and everyone was like; where got such thing one?!) I think it is good I share
this experience with the rest because for my scenario, the difference in the
sum is actually pretty hefty.
Besides, it is a bad economy and recession now. Times are already so bad and
out of a sudden have to pay back such hefty sum. Not happy also cannot do
anything. Suck thumb and pay and pay.