NOA (Notice_Of_Assessment) is the final assessment. Consolidated_Statement is a draft submitted by taxpayer, subject to IRAS adjustments.
Monthly installment is interest-free. GIRO (taking place at very end of scheduled day) hits DBS-108 for both Property and Income taxes. For Property tax I will leave it to Giro. For income taxes, the monthly deduction is a huge distraction (to recon++). I once decided to pay off full balance consisting of
- new liability on Notice_Of_Assessment
- left over unpaid balance of previous year
Q: What if you overpay by $100? Harmless. IRAS will return the overpayment via GIRO.
Q: What if you underpay by $100? Unfortunately, this amount would kick in via GIRO towards end of the payment plan [May-to-Apr]
There’s no cashback given by any bank. If you want to pay by AXS, then remember AXS is excluded universally.
— Early Apr plan .. On 6~7 Apr (by 12Apr), use scsc on AXS (immediate receipt) to pay off the balance. We can overpay slightly. After the 8 Apr payment shows up, you can pay the exact amount
( Webank can also pay 11k, but slow and I need to enter NRIC. AXS can remember NRIC. )
After IRAS team receives the full payment, they will reduce the monthly Giro to $200/M for May 2024 to Apr 2025.
–(mid 2023 situation) Before NOA is finalized, the probational GIRO engine (primitive and limited) ignores AXS payments, and keeps deducting the full GIRO amount 🙁 so I have decided on 16 May to log in to IRAS SSP (self-service portal) to suspend GIRO. After finalization, I can use SSP to re-activate the same GIRO (re-apply? Poor choice)
— big-Giro hazard.. I am using GIRO per-payee limit of $200 to prevent a full GIRO
background: My IRAS GIRO deduction will be ~2k for many years to come. Need to consider “proactive”. After AxsPlus, we can immediately check IRAS transaction history. (AxsPlus also emails me e-receipt 🙂 Better leave a small Giro amount as a periodic pipe-test.
GIRO processing starts in T-3. If you make AxsPlus payment after T-3, then GIRO amount has been finalized already 🙁
If AxsPlus hits IRAS well before T-3, then GIRO amount will be reduced, applying on the upcoming month(s) towards the later months.
The Giro payment limit in DBS is a reliable feature to prevent bigGiro.
However, pre-emptive payment before Giro could trigger “replann” by IRAS backend.
— GIRO result is hard to see.
* if successful, IRAS portal shows it within T+3
* if unsuccessful, IRAS portal shows nothing like “failure” but shows the amount due unchanged
— lump sum IRAS payment .. The IRAS pre-payment has zero financial benefits. Much better is a delayed lump sump payment. For example, IRAS hotline told me
- I can pay $200/M by Giro for Nov to Apr 2024
- final GIRO amount would be 10,529. Due to my Giro limit, this Giro would fail twice on 6th and 20th of final month (May)
- Better make a final lump-sum payment after 20 May
Jolt: Compared to mtg , IRAS late payment penalty is much lighter.