The HDB Yearly Price may be the believed gross once-a-year rent a house 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 property tax and is not depending on the flat's current market sale selling price. IRAS opinions the Yearly Worth of all Attributes on a yearly basis, taking into account the market rentals of comparable or similar Qualities within the vicinity, plus the home's measurement, spot, and affliction. How the Once-a-year Price is set stays the exact same irrespective of whether the flat is proprietor-occupied, vacant, or rented out. House tax is then calculated by multiplying the Yearly Worth through the prevailing tax fee, that's read more progressive and differs drastically among owner-occupied and non-owner-occupied properties. For operator-occupied HDB flats, tax premiums are considerably decrease to motivate residence ownership.