The Singapore Self-Employed Person (SEP) Income Relief Scheme (SIRS) is a special programme funded by the Singaporean government that provides financial support for economically disadvantaged self-employed persons. The Deputy Singaporean Prime Minister, Heng Swee Keat, launched this support system on March 26, 2020, with the declared intent of helping Singapore get by with the immense implications of the novel coronavirus outbreak. In his statement, the Ministry of Manpower, Singapore, has equally stressed that the scheme is ‘due to the extraordinary circumstances brought about by the covid-19 pandemic’. The financial support is designed to cushion the effects of the coronavirus pandemic on the income-earning structures of self-employed people in Singapore. It involves cash payment to beneficiaries within a period of three quarters. The Singaporean Ministry of Manpower and the National Trades Union Congress jointly administer the scheme. The scheme is expected to incur a total cost of $1.2 billion.
Eligibility Requirements
Most beneficiaries of the Singapore Self-Employed Person (SEP) Income Relief Scheme (SIRS) are automatically selected, while the rest submit applications for selection.
For an applicant to be to apply, the following requirements must be met:
- Must have worked as a self-employed person for a period not exceeding March 25, 2020. Recognized categories of SEPs eligible for the scheme include taxi drivers, insurance and property agents, business owners, private teachers, freelancers, delivery riders, consultants and food stall vendors.
- Must be earning not more than a hundred thousand dollars ($100,000)
- Must not own more than one property. Applicants who own two or more properties are automatically disqualified from consideration.
- Must not reside in a property worth more than twenty-one thousand dollars ($21,000) at annual rates. Property worth can be determined through the Inland Revenue Authority of Singapore online platform.
- Must not be an income earner whose monthly wage exceeds two thousand three hundred dollars ($2,300).
- Must be a citizen or permanent resident of Singapore. Foreign citizens residing in Singapore with a pass are thus ineligible to apply.
Self-employed persons who are aged 37 and above in 2020 with declared income tax records at the Inland Revenue Authority of Singapore (IRAS) are exempted from applying for the Singapore Self-Employed Person Income Relief Scheme (SIRS). According to the Ministry of Manpower, they are granted automatic eligibility- a decision that will be subsequently communicated through letter and text message to concerned individuals. Otherwise, applicants who are not granted automatic eligibility can apply if they meet all but one of the criteria set out above or are aged between 21 and 36 years as of December 31, 2020.
Required Documents
Persons who are interested in applying for the Singapore Self-Employed Person (SEP) Income Relief Scheme (SIRS) are required to present the number of documents to confirm their eligibility. These documents vary according to the following categories: people who were self-employed before January 1, 2020, and people who were self-employed between January 1, 2020, and March 25, 2020.
People who were self-employed before January 1, 2020, present the following:
- A document that shows proof of income as self-employed. Usable documents include payment receipts issued to customers, tax invoices or contracts. These documents must expressly cover the months of January, February and March 2020.
- A copy of acknowledgement consequent upon the submission of an Inland Revenue Authority of Singapore (IRAS) Form 144. This document is required of self-employed persons whose income falls within six thousand dollars ($6000) as recorded in the 2019 Work Year Net Trade Income.
- Self-employed persons whose income exceeds six thousand dollars ($6000) submit a copy of an Inland Revenue Authority of Singapore (IRAS) Notice of Assessment (NOA) or Consolidate Statement Form B.
For people self-employed between January 1, 2020, and March 25, 2020, the following documents are required:
- A document that shows proof of income as self-employed. Usable documents include payment receipts issued to customers, tax invoices or contracts. These documents must expressly cover the months of January, February and March 2020.
- Any document that demonstrates and attests to the applicant’s financial difficulties.
All married applicants are mandated to present the following in addition:
- A partner’s Inland Revenue Authority of Singapore (IRAS)-issued Notice of Assessment or Consolidated Statement Form B and/or 2019 Work Year Consolidated Form B1;
- Proof of income documents for January, February and March 2020.
Application Methodology
Application for the Singapore Self-Employed Person (SEP) Income Relief Scheme (SIRS) is made online through a dedicated National Trades Union Congress link (https://www.ntuc.com.sg/sirs/apply-now/ between 9 am and 10 pm daily.
Once on the site, an interested applicant indicates eligibility by ticking an eligibility checker. This opens subsequent windows, where the applicant clicks next and an ‘Apply Now’ button thereafter. Consequently, the applicant taps on ‘Click Here to Proceed’ and ‘Submit a New Application’ buttons. This leads to an interface where the applicant logs in with SingPass ID, fills in necessary details and uploads documents before submitting.
After the application
A submitted application will undergo a process of assessment by the National Trades Union Congress (NTUC). Where the application is approved, the NTUC will forward, within a specific period, necessary documentation via text message for the applicant to complete and return before a specified date.
Covid-19 Recovery Grant
Self-employed Singaporeans who do not qualify for the SEP Income Relief Scheme (SIRS) may be interested in the Covid-19 Recovery Grant (CRG). This support scheme caters for workers from low to middle-income backgrounds who have experienced significant financial and economic losses as a result of the impact of the novel coronavirus pandemic. Beneficiaries receive support in the form of several cash payments (with a maximum value of $700) structured in three tranches. The Singaporean Ministry of Social and Family Development (MSF) administers the scheme in concert with the National Trades Union Congress (NTUC).
All applicants must fulfil the following requirements in order to be eligible to apply:
- Must meet a minimum age requirement of 21 years.
- Must be a citizen or permanent resident of Singapore
- Must be residing in property not worth more than twenty-one thousand dollars ($21,000) in annual rates
- Must own a maximum of one property.
- Must have had a prior gross household income of seven thousand eight hundred dollars ($7,800) or gross per capita household income not exceeding two thousand six hundred dollars ($2,600).
- Must have declared income tax records from 2020 or 2021. Alternatively, this provision can be waived if the applicant can offer proof of work experience totalling six months between January 2020 and December 2021.
- Must be experiencing income losses for a minimum consecutive period of three months exceeding an average of 50% as at the time of application. These losses must have taken place after January 23 2020.
- Must meet stipulated job search or training requirements with proof. Alternatively, evidence of attempts at revenue and client expansion can be used as a substitute.
- Must not be benefitting from the following Singaporean government-funded welfare initiatives: Seafarers Relief Package, Covid-19 Driver Relief Fund, SGUnited Mid-Career Pathways Programme and SGUnited Skills Programme.
Applicants mandatorily present the following documents as part of the application process:
- Documents pertaining to bank account details for the purpose of receiving funds payout.
- Documents indicating satisfaction of ‘job search or training’ requirement or attempts at revenue and client expansion.
- A document that shows proof of income as self-employed. Usable documents include payment receipts issued to customers, tax invoices or contracts, trade licenses, service contracts, client engagement(s) log.
- Supporting documents establishing involuntary job or income loss. Accepted documents include a retrenchment or contract termination letter, a letter indicating an average income loss of 50% or more.
Eligible applicants route their applications through go.gov.sg/crg, where they fill and submit an online application form. The application can also be done locally at a Social Service Office in Singapore. Decisions on completed applications are communicated via text to applicants within 14 days. Payments on approved applications typically occur within seven days from the date of approval. The application window runs from January 18 2021, till December 31, 2022.
Frequently Asked Questions (FAQ’s)
1. Are foreigners also qualified to apply for Singapore SEP Income Relief Scheme (SIRS) and Covid-19 Recovery Grant?
No, both programmes are only open to adult Singaporean citizens and permanent residents of Singapore. Non-Singaporean nationals are not eligible to apply.
2. What is the duration of the processing period for Covid-19 Recovery Grant applications?
All applicants will receive information on the outcome of submitted applicants through text message within 14 days after the submission of completed applications. Applicants can also ascertain the status of submitted applications through the online application portal as well.