Frequently Asked Questions

FAQs for Skills Development Levy (SDL)
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Table of Content
1. SDL and Contribution Rate
2. Scope and Liability of SDL
3. SDL Exemption
4. SDL Computation
5. SDL Due Date and Payment Procedures
6. SDL System
7. Auto-computation of SDL via CPF e-Submit@web
8. SDL Refund Procedures
9. Declaration on Non-liability of SDL
10. Contact Us
   
1. SDL and Contribution Rate
1.1.

What is SDL and what is the purpose?

1.2.

What is the SDL contribution rate?

1.3.

What were the past revisions in SDL? How often will the SDL be adjusted?

   
2. Scope and Liability of SDL
2.1

Who is liable to pay SDL?

2.2

Are Ministries and Statutory Boards liable to contribute SDL for their employees?

2.3

Do employers need to pay SDL on account of employees who are paid locally but work outside of Singapore?

2.4

Is SDL payable for foreign employees, as well as local employees?

2.5

Why do I have to pay both SDL and Foreign Worker Levy (FWL) on account of my foreign workers?

2.6

If an employer engages a third party agent to pay remuneration on its behalf to its (the employer’s) employees, does the employer still have to pay SDL?

2.7

Is SDL payable for directors or partners for the remuneration paid to them?

2.8

Is a self-employed person liable to pay SDL on account of his earnings from his business?

2.9

Is SDL payable on account of remuneration paid to a part-time employee?

2.10

Is SDL payable on account of remuneration paid to an employee whose length of employment is less than a complete month?

2.11

Can an employer be exempted from paying SDL as he is not tapping on SDF training assistance?

2.12

Does a change in the shareholders of a company, or change in the partners of a limited liability partnership (LLP), alter or transfer away the company’s or LLP’s liability to pay outstanding SDL?

2.13

What types of payment by employers are subject to SDL?

   
3. SDL Exemptions
3.1

Which categories of employees or workers are exempted from SDL?

   
4. SDL Computation
4.1.

How do I compute SDL for my employees?

4.2.

How do employers compute SDL for months with bonus pay-outs or allowances?

4.3.

How do I compute SDL for employees who work in Singapore but whose remunerations are paid in foreign currencies?

4.4

How do I compute SDL on account of employees who are on paid leave or no-pay leave?

   
5. SDL Due Date and Payment Procedures
5.1

When must the SDL payable for any month be paid?

5.2

How do I make payment for SDL?

5.3

What if I have problems making payment? Can I pay in instalments?

5.4

What should I do if I have forgotten to pay, or have been underpaying SDL?

5.5

What happens if I do not pay SDL on time?

5.6

What SDL-related Documents do I need to prepare and keep?

5.7

What are the penalties for giving false information regarding the employer’s liability to pay SDL?

5.8

What are the penalties for hindering or obstructing SSG acting in the discharge of its duties under the SDL Act or any regulations made thereunder?

   
6. SDL System
6.1

What is Skills Development Levy (SDL) System?

6.2

How do employers access the SDL system?

6.3

Why must CorpPass or SingPass be used to transact in SDL system?

6.4

Why do I have to update company's profile?

6.5

When do I use SDL system to make payment?

6.6

How do I view my SDL payment transactions?

6.7

How do I request for refund via the SDL system for excess SDL payment made?

6.8

How do I submit online declaration on non-liability of SDL via the SDL system for my employees who are exempted from SDL?

     
7. Auto-computation of Skills Development Levy (SDL) via CPF e-Submit@web
7.1

What is the auto-computation of SDL feature via CPF e-Submit@web?

7.2

How do employers compute SDL for months with bonus pay-outs or allowances?

7.3

What should I do if I do not want the system to auto-compute the SDL amount?

7.4

Can I make back-payments of SDL with the new feature?

7.5

What about my employees who are exempted from SDL?

7.6

Where can I seek technical assistance for the enhanced feature?

7.7

Do I need to round off the SDL amount to be paid for the foreign employees?

   
8. SDL Refund Procedures
8.1

How do I go about applying for a refund when I overpaid my SDL?

8.2

Must I submit refund request through the SDL system?

8.3

Must I submit the payroll records in the prescribed format required by SSG?

8.4

How do I know the status of my refund request?

8.5

What are the other modes to receive my refund amount besides the crediting of refund to my organisation’s bank account?

   
9. Declaration on Non-liability of SDL
9.1

What is the purpose of employer’s declaration on non-liability of SDL?

9.2

How do I go about submitting the declaration on non-liability of SDL for my employees?

9.3

How do I extend or renew existing declarations on non-liability for my employees?

9.4

How do I retrieve the declaration records submitted online?

9.5

Can I amend the declaration records submitted online?

9.6

Must I submit declaration on non-liability of SDL through the SDL system?

9.7

When do I need to submit the declaration on non-liability of SDL for my employees?

   
10. Contact Us
10.1

Who do I contact for further enquiries?

   

Disclaimer:-

  1. The contents of this FAQ document, as well as the contents of Annex A referred to at FAQ 2.13 above (collectively the “Contents”), are for the purposes of providing general guidance only, and are not to be relied upon or construed as legal advice.
     
  2. The Contents are meant to be read subject to the Skills Development Levy Act (Chapter 306) and the subsidiary legislation thereunder (collectively the “SDL Legislation”). In the event of any inconsistency between the said Contents and the SDL Legislation, the latter shall prevail.
     
  3. The contents of this disclaimer are in addition to, and shall not be construed as derogating from, the contents of the Terms of Use of our website.