Singapore gives medicines no special GST treatment. A GST-registered importer or wholesaler charges 9% on local sales and can zero-rate qualifying exports. What is changing is how invoices reach IRAS. Under the GST InvoiceNow Requirement, every GST-registered business will send invoice data to IRAS through InvoiceNow, the Peppol-based network. Most businesses join between 1 April 2028 and 1 April 2031.
Do medicines attract GST in Singapore?
Yes. Singapore's GST rate has been 9% since 1 January 2024. IRAS's current GST rates page explains that GST-registered businesses charge 9% on local sales unless the sale is zero-rated or exempt. Medicines are not exempt. Unlike Australia or the UAE, Singapore has no zero rate for prescription medicines.
For a pharmaceutical distributor, that usually means:
| Transaction | Typical GST treatment | What to check |
|---|---|---|
| Sale to a local pharmacy, clinic or hospital | Standard-rated, 9% | A tax invoice with the correct GST registration number |
| Export to an overseas buyer | Can be zero-rated | You hold the export evidence IRAS requires |
| Import of stock into Singapore | Import GST is paid at the border | Whether a scheme such as the Major Exporter Scheme applies to you |
| Free goods, samples, bonus stock | May be a taxable supply | How gifts and samples are treated under IRAS rules |
The last two rows depend on your facts. Confirm them with your tax adviser or IRAS.
What is the GST InvoiceNow Requirement?
IRAS states that GST-registered businesses must use InvoiceNow-Ready Solutions to transmit invoice data directly to IRAS. InvoiceNow is Singapore's national e-invoicing network, run on the Peppol standard by the Infocomm Media Development Authority (IMDA). This data does not replace your GST F5 return; it sits alongside it.
The IRAS FAQ (version 23 September 2026) sets out these phases:
| From | Who is covered |
|---|---|
| 1 November 2025 | Newly incorporated companies (within 6 months of applying) that register for GST voluntarily |
| 1 April 2026 | All businesses applying for new voluntary GST registration |
| 1 April 2028 | All new compulsory GST registrants, and existing registrants with total annual supplies of S$200,000 or less |
| 1 April 2029 | Existing registrants with total annual supplies of S$1,000,000 or less |
| 1 April 2030 | Existing registrants with total annual supplies of S$4,000,000 or less |
| 1 April 2031 | Existing registrants with total annual supplies above S$4,000,000 |
IRAS announced the 2028 to 2031 phases at the Committee of Supply 2026.
How do you work out which phase you are in?
IRAS's FAQ says to add up your standard-rated, zero-rated and exempt supplies across all prescribed accounting periods ending in calendar year 2025. If your quarters end in March, June, September and December, that is January to December 2025. If they end in other months, IRAS gives a matching 12-month window.
Take a wholesaler with S$2.5 million of local sales and S$0.8 million of exports in 2025. Its total is S$3.3 million, so it falls in the 1 April 2030 phase.
What invoice data has to reach IRAS?
- Sales invoices sent over InvoiceNow. When both you and your customer are on the network, a copy of the Peppol invoice goes to IRAS automatically, generally in near real time.
- Sales invoices sent outside InvoiceNow. Most pharmacies and clinics may still receive PDF invoices. IRAS says these are recorded in your InvoiceNow-Ready Solution and sent as solution-extracted invoice data.
- Purchase invoices. Data for standard-rated and zero-rated purchases must also be sent, because it supports your input tax claims.
- Point-of-sale sales. Retail receipts can be sent in aggregated form.
All invoice data must reach IRAS by the earlier of two dates: the date the GST return is filed, or its filing due date.
What should a pharma distributor prepare now?
- Confirm your phase from your 2025 GST returns, and put the date in your plan.
- Check your current system. IRAS's FAQ says an ERP must connect through an IMDA-accredited Access Point Provider, or you can switch to an InvoiceNow-Ready Solution. Ask your vendor which it offers and when.
- Map your tax codes. You can keep your internal tax codes, but they must map to IRAS's prescribed GST category codes. Check this for exports, samples and credit notes.
- Clean customer and supplier master data. Collect GST registration numbers and Peppol IDs. The SG Peppol Directory lists businesses already on the network.
- Keep invoicing and accounting aligned. If you invoice in one system and keep the books in another, make sure invoice numbers and GST amounts match. IRAS runs validation checks on the data.
- Budget for it. IRAS has said that free InvoiceNow-Ready Solutions are available to SMEs until March 2031, and has announced transition grants. Check the IRAS support page for current amounts and eligibility.
Does InvoiceNow change batch and expiry records?
No. InvoiceNow covers tax data only. HSA's Good Distribution Practice still expects each sale to be traceable to its batch, expiry date and customer. Keep batch details on your delivery orders and invoices even when the tax data flows electronically, so a recall trace still works.
How Asli Pharma ERP helps
Asli Pharma ERP handles the operational side a Singapore distributor needs today:
- Batch and expiry captured at receipt
- FEFO picking
- Invoices that carry batch details
- An audit trail and approvals
Its tax reports today are built for the UAE. Singapore GST F5 reporting and InvoiceNow transmission through an accredited Access Point are on our roadmap and are not available yet. Until they are, use Asli Pharma ERP alongside an accounting system that is already InvoiceNow-Ready.
Frequently asked questions
Are medicines GST-exempt in Singapore?
No. Singapore charges GST at 9% on local supplies of goods and services unless a supply is zero-rated or exempt under the GST law, and medicines are not in the exempt categories. A distributor selling medicines to local pharmacies, clinics or hospitals charges 9% GST. Exports can be zero-rated if the documentary conditions are met.
When does the InvoiceNow requirement apply to my business?
If you are already GST-registered, the date depends on your total annual supplies in the prescribed accounting periods ending in calendar year 2025. The dates are 1 April 2028 for supplies up to S$200,000, 1 April 2029 up to S$1 million, 1 April 2030 up to S$4 million, and 1 April 2031 above S$4 million. New voluntary registrants have been covered since 1 April 2026.
Do I have to send Peppol invoices to customers who are not on InvoiceNow?
No. IRAS's FAQ says that sales invoices issued outside the InvoiceNow network, such as PDF invoices, are submitted to IRAS as solution-extracted invoice data. You must still record them in an InvoiceNow-Ready Solution so that the data reaches IRAS.
Are purchase invoices included?
Yes. IRAS requires invoice data for standard-rated and zero-rated purchases to be transmitted as well, because it supports the input tax you claim in your GST return.
When must the invoice data reach IRAS?
According to IRAS's FAQ, all invoice data must reach IRAS by the earlier of the date the relevant GST return is filed and that return's filing due date. Peppol invoices are usually passed to IRAS in near real time.
Sources
- IRAS: GST InvoiceNow Requirement
- IRAS: Frequently Asked Questions for GST InvoiceNow Requirement (version 23 Sep 2026)
- IRAS: Committee of Supply 2026, extension of GST InvoiceNow Requirement to all GST-registered businesses by April 2031
- IRAS: Government support to help businesses transition to the GST InvoiceNow Requirement
- IRAS: Current GST rates
- IMDA: InvoiceNow