Anuket is a Singapore-based boutique professional firm
providing incorporation, company secretarial, finance & accounting, taxation and human resources services to small & medium size businesses across all industries in general, and Marine industry in particular.
- We pride ourselves on our ability to provide high quality professional services with a personal touch.
- We understand that fast responsiveness and high accessibility are all we want in our business dealings.
- We deliberately limit clients to those that align with our specialty so that each of our clients would receive our individual attention and bespoke/tailored solutions to for their needs.
Our people had been holding senior positions in some of the big multinational companies and are highly qualified. This means, right off the start, you will be served with the people who had received some of the best training in the industry, thus the highest standard of professional services is guaranteed.
While Anuket originated with a focus on primarily serving Marine industry, we have evolved over the years to include serving a broad variety of industries which include e-Commerce, trading, investment holdings and Fintech etc.
Alexandra Xie, Founder
Alexandra is an experienced financial professional with over 20 years of accounting and business management experiences.
Prior to founding Anuket, Alexandra had been in the positions of CFO and financial controller with the MNCs based in the mainland China, Hong Kong and Singapore.
Alexandra’s expertise includes advisory on business start-up, investment project, statutory compliance and management reporting etc.
Alexandra is a Fellow Chartered and Certified Accountant of UK (“FCCA, UK”), a member of the Institute of Singapore Chartered Accountants (“CA, Singapore”) and the Accredited Tax Practitioner – Income Tax (“ATP-Income Tax”) of the Singapore Institute of Accredited Tax Professionals Limited. She also holds a Master of Business Administration from the University of Melbourne.
Giving back to the society
In Anuket, we believe in giving back to the society, it is our moral obligation and gives us a sense of purpose.
Charity & Donations
We make donation to the society every year since our incorporation. Anuket is the regular donor of HCA Hospice Care (HCA) Singapore and Singapore Cancer Society. No effort is too small to help bring care and joy to those in need.
Why switching to Anuket? A good question. Our answers are:
We are focus and dedicated
We are a boutique firm and we choose to limit the number of clients we serve, which means our attention is always on you. You won’t be ‘ignored’ or pushed down to the bottom of the pack which you may have experienced with some big firms.
We are professional and experienced
Right off the start, you will be served by the experienced chartered accountant and accredited tax professional, instead of junior associate.
We don’t sacrifice quality for profit
We take care of your compliance matters and financial accounts as we do for our own.
We see you as a business partner rather than merely a customer
We want you to be success, so we go beyond to share our professional knowledge and expertise with you. And don’t worry, we don’t charge you for general consultancy.
We will make the switching a breeze.
You only need to provide us with basic information about your company, we will take care of the rest.
- We will liaise with your current provider and arrange the transition directly.
- We will prepare all the necessary documents and effect the changes with the relevant government regulatory agencies.
- We will review the compliance records of your company and inform you if any immediate action is required.
Singapore has consistently retained its high ranking on the World Bank’s list for the ease of doing business for the past years.
Hastle Free Incorporaion
Political stability, low corporate taxes, efficient legal system, multi-channels of government funding and smart immigration policies all make Singapore the best place in the world to do business. It only takes a minimum share capital of S$1 and less than 1 hour to register a company online in Singapore!
Professional Filing Agent
As a professional filing agent licensed by ACRA, we provide one-stop solution.
Our incorporate services include:
- Company name application
- Preparing incorporation documents
- Incorporation with ACRA
- Free Company Constitution
- Free Business Profile
- Free e-Incorporation certificate
- Free First Director Resolutions
- Free issuance of share certificates
- Assisting in bank account opening
Corporate Secretarial Services
Under the Companies Act of Singapore, every company must appoint a secretary within 6 months from its incorporation date.
A company secretary must be a natural person and locally resident in Singapore. The position of company secretary must not be left vacant for more than 6 months. The sole director of a company and the company secretary cannot be the same person.
Engaging a qualified company secretary will help you stay in full compliance with statutory requirements and make you worry free.
Our annual package of company secretary services includes:
- Provision of a named Company Secretary
- Maintaining and updating Company's Registers and Minutes book
- Maintaining Registers of Controller and Nominee Director
- Preparation of Annual General Meeting documents
- Annual Return filing with ACRA
- Deadline reminders to various statutory filings
- Advisory on compliance matters
Our other company secretary services you may need are:
- Appointment or change of director, company secretary or auditor
- Change of registered office address
- Change of company name
- Change of business activity
- Application of extending Annual Return deadline
- Allotment of new shares
- Transfer of shares
- Amendment of Company Constitutions
- Striking-off company
- Nominee director services
- Registered office address services
Anuket will help you to maintain a clean accounting book right from the start.
Our accounting services include:
- Annual/quarterly/monthly bookkeeping
- Compilation of unaudited financial statements & directors' statement
- XBRL preparation and filing
As tax professionals accredited by the Singapore Institute of Accredited Tax Professionals (SIATP),
we have extensive tax knowledge to help you fulfil your tax obligations. In addition to tax compliance, we also provide tax advisory services to both business and individual.
Our tax services includes:
- Corporate tax filings including tax computation, ECI & Form C filing
- One-off GST Registration
- Submission of GST Return
- Application of GIRO account with IRAS
- Expatriate tax services
- Tax advisory & planning for expatriates
- Tax advisory & planning for companies
Payroll and Human Resource Services
Anuket is an Employment Agency licensed by the Ministry of Manpower (MOM) in Singapore.
We provide payroll services and other employment related services to help you stay in compliance with the Employment Act and other employment regulations.
Our HR services includes:
- Employment Pass / Dependant Pass application
- Multiple-entry visit visa application
- One-off CPF account registration and DDA application
- Monthly payroll services including CPF submission
- IR8A form preparation
- Employment income reporting to IRAS (AIS submission)
- Tax clearance for EP/PEP holder (IR21 Filing)
- Claim of government-paid leaves
- Job posting /recruitment services
- HR letters e.g. offer/ confirmation/promotion/dismissal letters
- Employment contract in compliance with Singapore Employment Act
- Employment handbook in compliance with Singapore Employment Act
Dormant Company Compliance
The Inland Revenue Authority of Singapore (IRAS) and the Accounting and Corporate Regulatory Authority (ACRA) define dormant company differently. A company that is defined as “dormant” by IRAS might be considered as “active” by ACRA.
To IRAS, a dormant company is one that does not carry-on business and has no income for the whole of the basis period. A dormant company must e-File its Income Tax Return (Form C-S Lite/ C-S/ C) unless it has been granted a waiver to file the Income Tax Return.
To ACRA, a company is dormant during a period in which no accounting transaction occurs.
Please note the following transactions will not affect the dormant status of a company:
- Appointing company secretary or auditor
- Maintaining a registered office,
- Keeping statutory registers and books
- Paying fees, fines or penalty to ACRA
Compliance requirements for dormant company
To ACRA – a dormant company must continue to file the annual return within 7 months from its Financial Year End (FYE). ACRA does not grant any exemption.
To IRAS – a dormant company must continue to file its ECI and Form C-S Lite/ C-S/ C for each assessment year until it has applied and been granted a waiver by IRAS.
Anuket will help you to maintain a dormant company only at an affordable rate. Our services include:
- Provision of named company secretary
- Provision of registered office address
- ACRA Annual Return filing
- IRAS Tax Return filing (or Applying for a waiver of submitting Tax Return)
- Accounting & bookkeeping (up to 50 transactions)
As a business owner, you always tend to plan ahead – you want to know what options you have when a business exit has to occur.
There are a few options available to close down a Singapore company, one of them is to strike off the name of the company from the Register (“Striking-off”), which is considered as the cheapest and fastest way.
The criteria for striking off a company include:
- The company has not commenced business since incorporation or has ceased trading.
- The company has no outstanding debts owed to Inland Revenue Authority of Singapore (IRAS), Central Provident Fund (CPF) Board and any other government agency.
- There are no outstanding charges in the charge register.
- The company is not involved in any legal proceedings (within or outside Singapore).
- The company is not subject to any ongoing or pending regulatory action or disciplinary proceeding.
- The company has no existing assets and liabilities as at the date of application and no contingent asset and liabilities that may arise in the future.
- All/majority of the director(s) have consented to submit the online application for striking off the company.
The entire process normally takes about 4-5 months.
In Anuket, with many years of experience in providing striking-off services, you can be assured of a seamless closure of your company by fulfilling all the statutory requirements.
Shared “Financial Controller” Services
Only at a fraction of the cost of a full-time Financial Controller, you will get an executive-level financial professional providing expertise and leadership to support your business growth.
Anuket offers “Financial Controller” services on an outsourced and timeshare basis. It can be customized to your requirements. It can be for a specific project, an interim arrangement, or an ongoing role.
Our shared services include:
- Preparation of full set of management accounts (monthly, quarterly or yearly)
- Cashflow forecast
- Accounting setup for newly start-up company
- Accounting mess clean-up
- Financial modelling for acquisition / investment
Frequently Asked Questions
I want to incorporate a company, what do I do?
Step 1 – to decide a number of key things:Company nameIntended business activitiesShare capital amount and number of sharesShareholder(s) and the allocated shareholdingsDirector(s)Registered address (you may use ours at a nominal fee)Financial year endConstitution (we provide model constitution or customized constitution)
Step 2 – to provide documents:Singaporeans and Singapore permanent residents to provide:NRIC copies of proposed shareholders and directors
Foreigners to provide:Certified passport copies of proposed shareholders and directorsCertified proof of residential address e.g. bank statement, utilities bill etc. of proposed shareholders and directorsLegal documents of parent company if any of the proposed shareholders is a corporate entity
Step 3 – we prepare all the documents and fill out all the forms, you need not fill out anything but to check and sign
Step 4 – we proceed to the incorporation
What are the minimum requirements of setting up a private limited company in Singapore?
You will need:At least 1 shareholder, who can either be an individual or a corporate entity.At least 1 local resident director.At least 1 local resident company secretary.At least 1 Singapore dollar as paid-up share capital.1 physical Singapore office address (it cannot be a PO Box)
How long does it take to incorporate a company in Singapore?
Within an hour once all the documents are signed and provided to us.
Apart from the incorporation with ACRA, do I need to apply for any business license for my company?
Most companies in Singapore do not require a business licence to commence operations.You will only need to obtain a business license from an approving authority if you are in certain industries for example, travel agencies, restaurants, hotels, schools, care centres, finance companies, commodity brokers, property agents and architectural firms etc.
Talk to us if you have the need.
Do I need to come to Singapore to incorporate my company?
No, you will only need to provide us with the requirement documents and information.We will handle all necessary tasks and do the incorporation for you.
Must I appoint a local resident director?
Yes. All Singapore companies are required to appoint at least one director who is a local resident.A local resident is defined as a Singapore Citizen, a Singaporean Permanent Resident, or a person who has been issued an Entrepass, Employment Pass, or Dependent Pass.The local resident director cannot be removed nor resign until another local resident director is appointed in his/her replacement.A director is not necessarily a shareholder, so you need not give shares to your local resident director.If you do not have a local resident director to meet the legal requirement, you may consider to engage our Nominee Director services.If you have the plan to relocate to Singapore to run your business, we may assist you in applying for Employment Pass after your company has been incorporated. Once you have been issued an Employment Pass, you will be regarded as a local resident director and may terminate our Nominee Director services.
I am a foreigner; can I own 100% of the shares of my Singapore-incorporated company and act as its director?
Yes, you can. 100% foreign shareholding is allowed in Singapore.You may either hold the shares directly or indirectly via a corporate entity.You can also be the director of your Singapore company; however, you will need to appoint at least one local resident director. In addition, a director must be a natural person and not be a corporate entity.
What is the Company Constitution? Why do I need it for the incorporation?
Company Constitution is a legal document that defines the rules by which a company is governed and managed.It outlines the objects of the company and specifies the rights, powers, duties and obligations conferred on the company, its shareholders, directors and officers. By law, a company must at all times operate in accordance with its Constitution.Company Constitution is also called the Memorandum and Articles of Association (M&A) in some other countries.The Company Constitution must be submitted to ACRA at the time of incorporation.
You have the choices of:Creating your own Constitution, orAdopting the Model Constitution provided by ACRA, orEngaging our service for a customized Constitution to cater your business needs.
Do I need to appoint a company secretary for my company?
Yes. You must appoint a company secretary within 6 months from the company’s incorporation.The company secretary must be a local resident and is a natural person (i.e. not a corporate entity). You may consider to engage our Company Secretary Services.
Do I need to appoint auditor for my company?
You don’t need to appoint auditor if your company are able to meet at least 2 of 3 following criteria:1)total annual revenue ≤ S$10 million;2)total assets ≤S$10 million;3)no. of employees ≤ 50.
If your company is part of a Group, the Group on a consolidated basis must meet at least 2 of the above quantitative criteria to be exempted from appointing auditor and preparing audited accounts. Otherwise, you company will need to appoint auditor.
I don’t have office in Singapore, can I use Anuket’s office address as my company’s registered address?
Yes, of course. We provide Registered Address Services only at a nominal fee.
How long does it take to open a corporate bank account?
In recent years, Singapore has implemented a robust governance framework to combat money laundering and terrorism financing activities.Under the framework, all banks in Singapore bank must conduct customer due diligence before it can accept new clients.For company with foreign shareholding, it takes about 3-4 weeks for the banks to process the account opening application.
To speed up the process, we suggest you to be prepared:Prepare upfront your business activities, business plan, estimated turnover and volume of bank transactions, potential clients and suppliers, correspondence between you and your potential clients and suppliers, industrial background and experience of the ultimate business owner etc. The more information you provide, the easier it will be for the bank to understand you and your business, and the faster for the bank to process your application.
Do I need to come to Singapore to open a corporate bank account?
In general, you will need to plan a visit to Singapore for opening corporate bank account after incorporating the company.However, with more and more banks adopting video interview with client, in-person interview is not a must. Once you engage our services, we will help you coordinate the account opening process.
What are the annual filing requirements that my Singapore company must fulfill?
The annual return filings with the Accounting and Corporate Regulatory Authority (ACRA) and the Inland Revenue Authority of Singapore (IRAS) are the most important ones that every company in Singapore must comply with.Annual Return (AR) Filing with ACRA must be done within 7 months after the financial year end.
Annual tax returns with IRAS include two filings:Estimated Chargeable Income filing (ECI) that must be filed within 3 months after the financial year endCorporate income tax return that must be filed by 30 November for the preceding financial year
I understand I must appoint a company secretary within 6 months from the company’s incorporation, but what does a company secretary actually do?
A corporate secretary (or company secretary) is responsible for looking after the administration work of a company efficiently.He or she is tasked with keeping the company compliant with the statutory and regulatory requirements of the company and being a mediator between shareholders and directors.
Which type of companies need to prepare XBRL report and who is exempted?
All Singapore (SG) incorporated companies are required to file financial statements (FS) with ACRA, except for those which are exempted.Some companies will file a full set of FS in XBRL format, while some others will file key financial data in XBRL format and a full set of signed copy of the FS tabled at annual general meeting and/or circulated to members (AGM FS) in PDF.
The detailed filing/exemption requirements are:GroupCompanies that file FS that are made publicXBRL Filing Requirements (Revised requirements effective from 1 May 2021)1SG-incorporated companies that are not covered in Groups 2 to 5 below.To file FS in XBRL format, and the extent of XBRL filing varies based on the company’s nature and size of operations:Smaller and non-publicly accountable companies (both terms are defined below):To file FS in Simplified XBRL template, together with PDF copy of FS authorised by directors; andAll other companies - To file FS in Full XBRL template.2SG-incorporated exempt private companies (EPCs) that are insolventTo file FS in XBRL format, and the extent of XBRL filing varies based on the company’s nature and size of operations:Smaller and non-publicly accountable companies (both terms are defined below):To file FS in Simplified XBRL template, together with PDF copy of FS authorised by directors; andAll other companies - To file FS in Full XBRL template.3SG-incorporated EPCs that are solventNot required to file FS. If the company opts to voluntarily file, to file FS in either:PDF copy of the FS authorised by directors; orFS in XBRL format. If the company opts to file FS in XBRL format, its extent of XBRL filing will vary based on the same criteria as Groups 1 and 2.4SG-incorporated companies in the business of banking, finance and insurance regulated by MASTo file FS in:XBRL FSH (Banks) template; orXBRL FSH (Insurance) template; together with PDF copy of the FS authorised by directors.5SG-incorporated companies preparing FS using accounting standards other than prescribed accounting standards in Singapore or IFRSTo file only PDF copy of the FS authorised by directors.6SG-incorporated companies limited by guaranteeTo file only PDF copy of the FS authorised by directors.7Foreign companies with SG branchesTo file only PDF copy of the FS authorised by directors.
Definition of smaller companyA smaller company mentioned in the table above refers to a company whose revenue and total assets for the current financial year do not exceed S$500,000 and S$500,000, respectively.The assessment of revenue and total assets should be made based on the FS that are required to be prepared under the Companies Act. When the company controls, jointly controls or has significant influence over other entities, its revenue and total assets should be assessed based on consolidated figures, unless the company is exempted by the accounting standards or by ACRA from preparing consolidated FS.The amount thresholds of S$500,000 are to be determined based on the FS, regardless of the number of months in the financial year covered by the FS. For FS presented in foreign currency, revenue should be translated based on average rates over the financial year and total assets to be translated based on closing rate as of financial year-end.
Definition of non-publicly accountable companyA non-publicly accountable company mentioned in the table above refers to a company that is not:a)a company that is listed or is in the process of issuing debt or equity instruments for trading on a securities exchange in Singapore;b)a company whose securities are listed on an exchange outside Singapore;c)financial institutions (e.g., licensed banks, licensed insurer, capital market infrastructure provider etc)
Definition of solvent exempt private companyA private company can have not more than 50 members. An exempt private company (EPC) can be a private company with less than 20 members, and does not have any corporations holding beneficial interest in its shares (whether directly or indirectly).An exempt private company is insolvent if it is unable to meet its debts when they are due. Insolvent EPCs are required to file FS as mentioned above. Solvent EPCs only need to make an online declaration of their solvency, and filing FS is voluntary.
Why does a company need to prepare financial statements? How is it related to Annual General Meeting (AGM) and Annual Return (AR)? Which financial reporting standards should a company follow when it prepares its financial statements?
Financial statements provide a snapshot of a company's financial health, giving insight into its business performance, financial profitability and cash flow situation.All the Singapore-incorporated companies with financial period starting on or after 1 January 2003 have to prepare their Financial Statements according to the Singapore Financial Reporting Standards (SFRS). Eligible small entities may choose to adopt Singapore Financial Reporting Standards for Small Entities (SFRS-SE) for their financial period starting on or after 1 January 2011.
Under the Companies Act, all Singapore-incorporated companies are required to file annual returns with ACRA to ensure that the company’s information on ACRA’s register is up to date.A company’s annual return can only be filed:after an AGM has been held;after financial statements are sent (if company need not hold an AGM);after financial year end, for a private dormant relevant company that is exempted from preparing financial statements or that has dispensed with the AGM.
The timelines for holding AGM and filing AR are aligned with the company’s Financial Year End (FYE):For listed companies:Hold AGM within 4 months after FYEFile AR within 5 months after FYEFor other company:Hold AGM within 6 months after FYEFile AR within 7 months after FYE
Under the Companies (Amendment) Act 2017, private companies are exempted from holding AGMs if they send their financial statements to members within 5 months after the FYE.
What is a bookkeeping service? How does it differ from the service of compilation of financial statements?
Bookkeeping is an indispensable subset of accounting. Bookkeeping refers to the process of collecting, recording, maintaining and reconciling financial records.It involves accounting data entering, invoicing, maintaining accounts payable, account receivable, reconcile between bank statement and accounting book.Bookkeeping can be thought of as the input, based on which, financial statements can be prepared as the output, hence, the correctness and completeness of the input data will have direct impact on the accuracy and validity of the financial statements.So, it is very important to start proper bookkeeping as soon as your business has commenced, otherwise, several months’ receipts and payments will be left unrecorded, which may result in difficulties of preparing the company’s financial statements, consequently cause delay in holding AGM and filing annual return.In Anuket, we use XERO cloud accounting to help you maintain a clear and up-to-date accounting book all the time.
How long is a company required to keep its accounting records?
All companies in Singapore are required to keep their accounting records and supporting documents for at least five (5) years.
How do I know which bookkeeping service package is right for me?
If you are a newly start-up company and have less than 60 bank transactions a year,we would recommend you to choose our annual bookkeeping service which only starts from $400 per year.
If your business is growing and have about 10-20 bank transactions per month,then our quarterly bookkeeping service may fit you the best.
If your business is thriving and have more than 20 bank transactions per month,we would recommend you to choose our monthly bookkeeping service so that you can keep your account tidy, accurate and up-to-date.
What is basis period? What is Year of Assessment?
A Singapore company is taxed on the income earned in the preceding financial year.This means that income earned in the financial year 2021 will be taxed in 2022. In tax terms, 2022 is the Year of Assessment (YA), as it is the year in which the company’s income is assessed to tax.To assess the amount of tax, IRAS looks at the income, expenses, etc. during the financial year. This financial year is known as the 'basis period'.The basis period is generally a 12-month period preceding the YA.
What are the timelines for corporate tax filings?
Under the Income Tax Act of Singapore, all companies are required to submit two Corporate Income Tax Returns to the Inland Revenue Authority of Singapore (IRAS) every year:Tax ReturnPurposeDue DateEstimated Chargeable Income (ECI)To declare the company’s estimated taxable income for a YAWithin three (3) months from the end of the financial year unless the company is exemptedForm C-S (Lite), Form C-S or Form CTo declare the company’s actual taxable income for a YA30 November each year
What is ECI?
ECI is an estimate of your company's taxable profits (after deducting tax-allowable expenses) for a Year of Assessment (YA).Your company does not need to file ECI in any Year of Assessment (YA) when both criteria are met:Annual revenue is $5 million or below for the financial year; andECI is nil for the YA. The ECI should be the amount before deducting the exempt amount under the partial tax exemption scheme or the tax exemption scheme for new start-up companies.
A company must file ECI within 3 months from the end of its financial year, unless it meets the both criteria mentioned above.
What is Form C-S (Lite), Form C-S or Form C Filling?
Form C-S (Lite), Form C-S or Form C is the final actual tax return filing for a company.Singapore-incorporated companies with annual revenue of $200,000 or below can choose to file Form C-S (Lite);Singapore-incorporated companies with annual revenue of $5 million or below can choose to file Form C-S;The companies who are qualified to file Form C-S (Lite) or Form C-S are not required to submit financial statements and tax computations.
Singapore-incorporated companies with annual revenue over $5 million must file Form C, and are required to submit financial statements and tax computations.
What is the tax exemption scheme for new start-up companies?
The tax exemption scheme for new start-up companies was introduced in the Year of Assessment (YA) 2005 to support entrepreneurship and to grow the local enterprises.The tax exemptions for qualifying companies for their first 3 consecutive YAs are as follows:75% exemption on the first $100,000 of normal chargeable income*; andA further 50% exemption on the next $100,000 of normal chargeable income*.* Normal chargeable income refers to income to be taxed at the prevailing Corporate Income Tax rate of 17%.
What are the qualifying conditions for tax exemption scheme for new start-up companies?
All new start-up companies are eligible for the tax exemption scheme,except:Companies whose principal activity are that of investment holdingCompanies that undertake property development for sale, investment, or bothThe new start-up company must also:Be incorporated in SingaporeBe a tax resident of Singapore for that YAHave its total share capital beneficially held directly by no more than 20 shareholders throughout the basis period for that YA where:All the shareholders are individuals; orAt least 1 shareholder is an individual holding at least 10% of the issued ordinary shares of the company
How is the tax residency of a Company is determined?
Under Singapore tax law, the tax residency of a company is determined by where the business is controlled and managed.The residency status of a company may change from year to year.Generally, a company is considered a Singapore tax resident for a particular Year of Assessment (YA) if the control and management of its business was exercised in Singapore in the preceding calendar year. For example, a company is a Singapore tax resident for YA 2021 if the control and management of its business was exercised in Singapore for the whole of 2020.A company is a non-resident when the control and management of its business is not exercised in Singapore.'Control and management' is defined as the making of decisions on strategic matters, such as those concerning the company’s policy and strategy. Where the control and management of a company is exercised is a question of fact.Usually, the location of the company's Board of Directors meetings where strategic decisions are made determines where the control and management is exercised. Under certain scenarios, holding Board of Directors meetings in Singapore may not be sufficient and IRAS will consider other factors to determine if the control and management of the business is indeed exercised in Singapore.Some examples of scenarios where the control and management of a company is considered not exercised in Singapore include:There is no board of directors meeting held in Singapore. Instead, the directors’ resolutions are merely passed by circulationThe local director is a nominee director while the rest of the directors are based outside SingaporeNo strategic decisions are made by the local director in SingaporeNo key employees are based in SingaporeThe place of incorporation of a company is not necessarily indicative of the tax residency of a company.
How does tax residency of a company affect its corporate income tax?
While tax resident and non-resident companies are generally taxed in the same manner,tax resident companies enjoy certain benefits, such as:Exemption or reduction in tax imposed on specified foreign income that is derived in a jurisdiction that has an Avoidance of Double Taxation Agreement (DTA) with SingaporeTax exemption on specified foreign income such as foreign-sourced dividends, foreign branch profits, and foreign-sourced service income under Section 13(8) of the Income Tax ActForeign tax credit for the taxes paid in the foreign jurisdiction against the Singapore tax payable on the same incomeTax exemption for new start-up companies
If my company is not qualified for the tax exemption for new start-up companies, what other tax exemption scheme is available for my company?
All companies, including companies limited by guarantee, are eligible for partial tax exemption (PTE), unless they are claiming the tax exemption for new start-up companies.The tax exemptions for qualifying companies are as follows:75% exemption on the first $10,000 of normal chargeable income; andA further 50% exemption on the next $190,000 of normal chargeable income.
What is GST?
Goods and Services Tax or GST is a broad-based consumption tax levied on the import of goods, as well as nearly all supplies of goods and services in Singapore.In other countries, GST is known as the Value-Added Tax or VAT.
Do I need to register for GST?
You must register for GST if your taxable turnover is:Under the retrospective view, more than $1 million at the end of the calendar year, orUnder the prospective view, expected to be more than $1 million in the next 12 monthsIf your taxable turnover is less than $1 million, you may choose to register for GST voluntarily.
What are the responsibilities after you have GST-registered?
As a GST-registered company, your responsibilities include but not limited to:charging and accounting for GSTfiling GST returns on quarterly basis, within one month from the end of each accounting period. If there is no transaction, a “NIL” GST return must still be filed.keeping all business and accounting records for at least 5 years, even if you have ceased business or is deregistered from GST.displaying prices inclusive of GST.Paying GST due on time. Tax due must be paid within 1 month from the end of each accounting periodissue tax invoices/customer accounting tax invoices for your standard-rated supplies.
Your company will need to fulfil these responsibilities from the effective date of registration that is stated in your approval letter.
Payroll and Human Resource Services
What is Central Provident Fund (CPF)?
The CPF is a mandatory social security savings scheme funded by contributions from employers and employees.It is a key pillar of Singapore’s social security system, and serves to meet the retirement, housing and healthcare needs.
What are the obligations of an employer under the CPF Act?
As an employer, you’re required to pay CPF contributions for your employees who are Singapore Citizens or Singapore Permanent Residents.this applies to (Singapore Citizens or Singapore Permanent Residents) employees who are earning total wages of more than $50 per month.You need to pay total CPF contributions (comprising of the employer and employee’s shares) to the CPF Board. You’re entitled to recover the employee’s share of CPF contributions when paying your employee’s wages for the month.
Is CPF payable for a foreign employee?
No, CPF contributions are exempted for foreign employee.
Are overseas employers required to pay CPF contributions for their employees working in Singapore?
Yes. All employers, including overseas employers, are required to pay CPF contributions for local employees working in Singapore.
When must I pay salary to my employee?
You must pay salary to your employee at least once a month and within 7 days after the end of the salary period.
How long must I maintain records for my employee?
You are required to maintain detailed employee records and salary records for latest two years.
Why must I issue itemised Payslip to my employee?
All employers must issue itemised pay slips to employees either together with salary payment or within 3 working days of salary payment. This is required by the Employment Act.
What is the Auto-Inclusion Scheme (AIS) for Employment Income? Do I need to join the AIS?
Under the Auto-Inclusion Scheme (“AIS”), employers are required to submit their employees’ employment income information to IRAS electronically.IRAS will then auto-include this information in the employees’ online tax returns and assessments.From YA 2022, participation in the AIS is compulsory for employers with 5 or more employees.Employers who have less than 5 employees are encouraged to join AIS.
What is Form IR8A? Do I need to provide Form IR8A to my employee?
You are required by law to prepare and issue Form IR8A to your employees by 1 Mar each year.Employers under Auto-Inclusion Scheme (AIS) for Employment Income must submit their employees’ income information to IRAS electronically by 1 Mar every year. AIS employers do not need to issue hardcopy Form IR8A and the appendices to their employees.Employers who are not under the AIS for Employment Income have to provide the hardcopy Form IR8A and appendices (where applicable) to their employees by 1 Mar each year to file their income tax returns. Employers need not submit the forms to IRAS.
I plan to employ foreign employee, what shall I do?
You should apply for Employment Pass (“EP”) for your foreign employee.EP is the most common Singapore work visa issued by Singapore’s Ministry of Manpower (“MOM”) to foreign professional employees, managers, and owners or directors of Singaporean companies. This work visa allows a foreigner to live and work in Singapore, as well as travel in and out of the country without having to apply for entry visas.An Employment Pass is usually valid for 1-2 years and can be renewed for an additional 3 years. Possessing an EP also makes it easier for you to apply for permanent residence (PR) in Singapore. Once you become a PR, it is possible for you to become a citizen if you so wish.
What must I do if my foreign employee has resigned?
When non-Singapore Citizen employee (i.e. foreign or Singapore Permanent Resident employee) ceases employment in Singapore, goes on an overseas posting or plans to leave Singapore for more than three months,the employer must seek tax clearance for him and has the responsibility to file the Form IR21 and withhold all monies due to the employee for tax clearance purpose. This applies to all work pass holders including Employment Pass (EP) holders.Employer must file the Form IR21 at least one month before:The employee ceases to work for you in Singapore;The employee starts an overseas posting; orThe employee leaves Singapore for any period exceeding three months.
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