As a self-employed, you will enjoy tax deductions on your compulsory and voluntary CPF contributions. For contributions made in 2006, you will enjoy tax deduction of 33% of your assessable income, up to $25,245. For contributions made in 2007, you will enjoy tax deduction of 34.5% of your assessable income, up to $26,393.

If you are also an employee and your combined compulsory CPF contributions as an employee and as a self-employed are less than $26,393, you may claim tax relief for voluntary CPF contributions. However, your total claim for compulsory and voluntary CPF contributions must not be more than $26,393.

If your combined compulsory CPF contributions as an employee and as a self-employed are more than $26,393, you cannot claim relief for any voluntary CPF contributions.

Click here for more information on tax relief for self-employed.