Selling Overseas from Singapore: Shipping, GST and Store Setup

Before you start: which markets and which channel

Start with one or two markets where you already get enquiries or where shipping is cheap and fast, usually Malaysia and other ASEAN countries, then Australia. Each new market adds currency, shipping, duties and returns work.

You also have a channel choice: your own store, or regional marketplaces that handle much of the logistics. Our comparison of Shopee and Lazada fees vs your own online store covers the trade-off.

GST on exports: zero-rating and the evidence IRAS needs

If you are GST-registered, sales of goods exported to overseas customers can usually be charged GST at 0% (zero-rated). IRAS's exporting of goods page sets two conditions: at the time of supply you are certain the goods will be or have been exported, and you have the required documents.

Time of supply is the earlier of issuing an invoice or receiving payment. You then have 60 days to export the goods and collect the documents. If you miss that, the sale must be treated as standard-rated.

For the common online-store case (you send goods to the overseas customer through a Singapore-based postal or courier company), IRAS updated the requirements from 8 July 2024:

Not GST-registered? Then you don't charge GST at all, but keep an eye on the registration threshold; see our guide to GST registration for online sellers. This is general information, not tax advice.

Setting up Shopify Markets for overseas customers

Shopify's international selling tools let one store serve several markets, each with its own currency, prices, language, domain and shipping rules.

1. 1

   Create a market for each country or region

   Group countries with similar shipping and pricing, for example ASEAN, Australia and New Zealand, and the rest of the world.

2. 2

   Set currency and pricing

   Turn on local currencies. Use automatic conversion with rounding, or set fixed prices per market for your best sellers.

3. 3

   Decide on duties and import taxes

   Collect them at checkout so customers are not surprised on delivery, or tell them clearly that they pay on delivery.

4. 4

   Add HS codes and country of origin to products

   Shopify requires HS codes to charge duties at checkout, and couriers need them for customs declarations.

5. 5

   Set shipping zones and rates

   Use real courier rates or flat rates per zone, and set a sensible minimum order value for expensive destinations.

6. 6

   Check GST settings

   Make sure Singapore GST is not added to export orders if you zero-rate them; our Shopify GST setup guide covers the settings.

Shopify's duties at checkout page lists the fee: 0.85% of the order where Shopify Payments is your gateway, or 1.5% with other payment providers, charged on every order with duties calculated, even if the amount is zero. It also notes that with Shopify Markets alone you remain the merchant of record, so overseas tax registration and customs compliance are your responsibility.

Couriers, delivery times and overseas returns

For most small stores the choice is between the postal service (cheaper, slower) and express couriers (faster, tracked, more expensive), often booked through an aggregator. Our guide to e-commerce shipping costs in Singapore compares local options; for overseas, get quotes for your real parcel sizes.

• Always use tracked services for exports, for customer service and for IRAS proof of delivery.
• Show delivery times by country on product and checkout pages; overseas customers are more patient when told upfront.
• Check restricted items: batteries, liquids, cosmetics and food often have extra rules or are refused by couriers.
• Declare goods accurately: under-declaring value to save the customer duties is customs fraud and can get parcels seized.
• Returns: for low-value items, a refund without return is often cheaper than paying international return shipping. For high-value items, require a tracked return.

Put your international shipping, duties and returns policy on a single page and link it from the checkout.

Payment methods for overseas customers

Visa and Mastercard work everywhere, but conversion improves when customers see the methods they use at home. PayNow only works for Singapore customers.

• Cards, Apple Pay and Google Pay cover most markets; expect international card rates to be higher than domestic ones.
• PayPal is still widely trusted by overseas shoppers buying from an unfamiliar store.
• Local methods matter in some markets, for example wallets and bank transfer options in Malaysia, Indonesia and the Philippines. Check what your gateway supports in each country.
• Currency: charging in the customer's currency usually converts better, but check how your gateway converts and pays out in SGD.

Fees for international cards and currency conversion vary by gateway; our payment gateway comparison lists the Singapore rates.

Do it yourself or get help?

Turning on a second currency and a couple of shipping zones is something most Shopify owners can do themselves. The parts worth getting right first time are duties at checkout, HS codes, GST settings and a document trail that satisfies IRAS.

Our Online Store Pro package (S$3,490) sets up a Shopify store with multiple markets, currencies, shipping zones and the product data customs needs. Online Payment Setup (S$290) adds the payment methods that suit each market and connects payouts to your accounts.