Singapore's tax regime is well-known for its attractive corporate and personal tax rates, tax relief measures, absence of capital gains tax, one-tier tax system, and extensive double tax treaties.

Tax on corporate income in Singapore is imposed at a flat rate of 17%. Personal tax rate is from 0% to 22%. A partial tax exemption and a three-year start-up tax exemption for qualifying start-up companies are available. The due date for corporate tax filing for Singapore companies is 30 November (for hard copy forms) and 15 December (for e-filing).

Singapore follows a territorial basis of taxation. In other words, companies and individuals are taxed mainly on Singapore sourced income.There is 0% tax on capital gains accrued by the company and dividend distribution to shareholders.

The Singapore Companies Act states that every company must get its financial statements and accounting records audited by an auditor on an annual basis unless the company meets the Singapore audit exemption requirement.

The audit exemption criteria for companies and introduced the concept of a “small company”. A company that qualifies as a small company is not required to appoint an auditor and have its accounts audited. The Amended Act was made effective starting from July 1, 2015. A company is considered to be a small company if it fulfils at least two out of the following three conditions:

1. The total annual revenue of the company must not exceed S$10 million;

2. The total assets of the company for the financial year end must not exceed S$10 million;

3. The number of full-time employees at the end of the financial year must not exceed 50.

If the company is exempted from audit, it only need to prepare financial statements and director report to before filing Annual return and tax return. 

Step 1: Contact us and get an instant quote.

Step 2: Provide docuements for starting accounting work.

Step 3: Begin accounting procedures (audit procedure if needed).

Step 4: We issue financial statements and director report and file tax return for your company.

1. Choose the first financial year end.

For the first financial year end, you can choose any month among 18 months after the registration date. 

Then it is fixed for the following years till the company is closed.

2. Keep record of transactions documents.

Keep all the bank statements, sales contracts or invoices, purchase contract or invoices and all the expenses bills of the Singapore company.

3. Contact us for audit procedures.

Remember to contact us once it reaches the financial year end and we will help you with accounting and audit procedures.

4. Sign the report and tax return form.

We prepare the financial statements for you to sign and submit it to the Hong Kong Revenue Department together with profits return form.

Yes. There are consequences for late or non-filing of tax returns or late payment of tax in Singapore.

According to IRAS, any defaulting company can be subject to one or more of these penalties, depending on the severity of non-compliance.

IRAS sends an estimated Notice of Assessment (NOA);

A composition fee of not more than SGD5,000;

Be issued a Section 65B(3) notice;

Summoning the director of the business.

For late payment penalty, 5% late payment penalty will be imposed on the unpaid tax if full payment is not received by the due date of the NOA.