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Old 21-10-2018, 12:39 AM
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Default cpf violations

Originally Posted by Unregistered View Post
I cannot think of the reason why would they want you to pay for the employer contribution.

If u are ft, then it makes sense to inflate your salary to qualify to s pass or employment pass.

But since you are paying cpf, means at least a PR or citizen which dont need a minimum income.

Asking you pay for employer CPF, still means they still have to pay u the wages. Your wages albeit inflated still comes from them. So in terms of expenses, and their income after operating cost will still be the same. So attract the same company tax.

The only possible reason is they put employer CPF as an expense in their tax returns but asked you to pay, that way they could save some tax but still not a lot. This means they are doing tax evasion.

The second reason is just to inflate pay a little to attract SG to come work to satisfy their local quota.

Either case is illegal. Especially the tax evasion part.
Not just foreign employes, but true bread Singapore employers are doing this.


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