The HDB Yearly Worth will be the approximated gross once-a-year hire a home could command if it ended up rented out, excluding furniture, furnishings, and upkeep expenses. This benefit, based on the Inland Earnings Authority of Singapore (IRAS), is a crucial factor in calculating the yearly house tax and isn't dependant on the flat's market sale value. IRAS testimonials the Yearly Price of all Attributes annually, considering the marketplace rentals here of similar or comparable Qualities inside the vicinity, together with the assets's sizing, locale, and condition. The way the Once-a-year Benefit is decided stays the exact same irrespective of whether the flat is proprietor-occupied, vacant, or rented out. House tax is then calculated by multiplying the Annual Value by the prevailing tax rate, which is progressive and may differ noticeably concerning operator-occupied and non-proprietor-occupied Qualities. For owner-occupied HDB flats, tax fees are significantly decrease to stimulate residence ownership.