Prior to Jul 2015, all SRS withdrawals must be made in cash.
From Jul 2015, SRS members will be able to apply to their SRS operators1 to withdraw an SRS investment by transferring the investment out of their SRS accounts (e.g. into their personal Central Depository (CDP) account), without having to liquidate their SRS investments. This is only applicable for the following types of withdrawals, which qualify for the 50% tax concession:
a. withdrawal on or after the statutory retirement age prevailing at the time of an SRS member’s first contribution (prescribed retirement age);
b. withdrawal on medical grounds;
c. withdrawal in full by a foreigner who has maintained his SRS account for at least 10 years from the date of his first contribution; and
d. actual withdrawal made by an SRS member or his legal personal representative (if he is deceased) from his SRS account, after the SRS investment that is to be withdrawn had earlier been deemed withdrawn upon death or after the expiry of the 10-year withdrawal period2.
All other withdrawals from an SRS account, including premature withdrawals, must be made in cash. Except for the four types of withdrawals highlighted above, where savings in the SRS account have been used to acquire investments, the investments must be liquidated before the sales proceeds are withdrawn in cash from the SRS account.
For a withdrawal of type a, b or c above, an SRS investment that is withdrawn will be valued by the SRS operator or the financial product provider (where applicable) and its value will be brought to tax. This is similar to the treatment for cash withdrawn from an SRS account. For a withdrawal of type d above, the earlier deemed withdrawal would have already been subject to tax. The date of withdrawal of an SRS investment is the date on which your SRS operator approves the withdrawal. Table A provides details on the date of approval by your SRS operator. Table B provides the dates that would be used for the purpose of valuation.
Table A – Date of approval by your SRS operator
| If you are: | Your SRS operator will review your application and inform you of whether your application3: | Date of approval by your SRS operator |
| (i) a Singapore citizen | is approved | date on which your application to withdraw an SRS investment is received by your SRS operator |
| (ii) a non-citizen | can be approved after your SRS operator has collected tax from you on 50% of the value of the SRS investment that is to be withdrawn. | date on which your SRS operator has collected tax from you on 50% of the value of the SRS investment that is to be withdrawn |
Table B – Date used for the purpose of valuation
| If your withdrawal of an SRS investment from your SRS account is: | Date used for the purpose of valuation |
| (i) of type a, b or c above | date on which your application to withdraw an SRS investment is received by your SRS operator |
| (ii) of type d above | date of the earlier deemed withdrawal upon death or after the expiry of the 10-year withdrawal period4 |
| If your withdrawal of an SRS investment from your SRS account is: | Date used for the purpose of valuation |
| (iii) of type a, b or c above | date on which your application to withdraw an SRS investment is received by your SRS operator |
| (iv) of type d above | date of the earlier deemed withdrawal upon death or after the expiry of the 10-year withdrawal period5 |
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1An SRS operator would not be able to approve an application to withdraw an SRS investment where among other things, the investment cannot be separately valued (e.g. where the SRS investment that the SRS member wishes to withdraw from his SRS account is an inseparable part of an insurance policy).
2For an SRS member who withdraws his SRS savings: (i) at or after the statutory retirement age that was prevailing when he made his first SRS contribution or (ii) on medical grounds, the 10-year withdrawal period will start from the date of his first such withdrawal.
3An SRS operator would not be able to approve an application to withdraw an SRS investment where among other factors, the investment cannot be separately valued (e.g. where the SRS investment that the SRS member wishes to withdraw from his SRS account is an inseparable part of an insurance policy).
4This means that the value of the SRS investment to be withdrawn is the same as the value of that investment determined upon the earlier deemed withdrawal.
5This means that the value of the SRS investment to be withdrawn is the same as the value of that investment determined upon the earlier deemed withdrawal.