Accounting requirements for starting a company in Singapore
The accounts are divided into quarters and annuals. Accounting will quote based on transaction volume; the following are the estimates involved:
|
Transaction Volume |
Quarterly Pricing（$） |
|
30-149 |
$240-$1080 |
| 150-239 |
$1290-$1650 |
|
Transaction Volume |
Yearly Pricing（$） |
|
119-599 |
$800-$3600 |
| 600-959 |
$4300-$5500 |
Costs that involved in setting up a company in Singapore
Unless exempted, Singapore companies must submit annual statements (including financial statements) to ACRA through the BizFile + portal. This is usually assisted by the company’s legal secretary.
The following are the government fees that Singaporean companies will involve:
|
Company Transaction |
Fee |
|
Name application |
$15 |
| Registration fee |
$300 |
|
Annual filing |
$60 |
|
Conversion within Company types |
$40 |
|
Lodgment of Notice of Error (NOE) |
$60 |
| Registration of particulars relating to charges |
$60 |
|
Registration for amalgamation |
$400 (separate company registration fee of $300 applies where the amalgamated company is a new company) |
|
Application for Extension of Time (EOT) to file accounts or to hold Annual General Meeting (AGM) |
$200 |
| Other applications (see below) |
$200 |
The regulations related to tax filing
All companies are required to pay corporate tax on taxable income from Singapore or foreign income remitted into Singapore.
For companies with an annual turnover of more than S$1 million, they must also pay GST in the form of Goods and Services Tax (GST), see some key points of Singapore goods and services tax (Gst) you need to know.
In addition, you can refer to the article about the year of assessment
The GST registration fee is between $300-$400, and the filing fee is estimated to be more than $400. The tax year will be quoted based on the financial report and the company’s transaction volume, generally above $600.
Audit requirements
In Singapore, all companies must appoint an auditor within 3 months of establishment, unless the company is exempt from audit requirements.
The fee for statutory audit services generally starts from S$3,000 per audit. Depending on the size and complexity of the company’s financial statements, the fee may increase.
The other special requirements
In addition to the above compliance requirements, the company may temporarily request other company services, some of which are as follows:
- Preparation of documents and resolutions for the Extraordinary Assembly
- Amend company information or articles of association together with ACRA
- Transfer of shares with ACRA
- Open a company bank account
- Employment Pass Application
- Commercial license application
Every private limited company must register share capital, which is divided into issued share capital and paid-up capital.
- Issued capital refers to the capital issued by the company to shareholders for subscription, and the minimum can be $1;
- The paid-in capital refers to the capital actually paid to the company by the shareholders of the company, and the minimum can be $0.
When registering a private limited company in Singapore, the Singapore Registry does not compulsorily require the paid-up of the registered capital (capital verification will not be performed), and even if it is not fully paid, it will not affect the company registration procedures.
Taking into account the strength and credit of the display company, it is not recommended to register the paid-in capital as $0. It is recommended that all the issued capital be paid in full or part of the issued capital when funds allow.
Late lodgement penalty from ACRA
Under the legislations administered by ACRA, all Singapore incorporated companies, Variable Capital Companies (VCCs) and Limited Partnerships (LLPs) are required to file annual lodgement including annual returns and annual declarations with ACRA, within a prescribed timeline.
A late lodgement penalty will be imposed against companies, VCCs and LLPs for the late filling of annual returns and annual declarations.
|
Entity type |
Late lodgement penalty (from 30 Apr 2021) |
| Local companies | -$300 for late lodgement filed within 3 months after filing due date; or
-$600 for late lodgement filed more than 3 months after filing due date. |
| Variable Capital Companies (IVCC) | |
| Foreign Companies | |
| Limited Liability Partnership (LLP) |
Late lodgement fees (other than for late lodgement of annual return)
|
Length of default (Days) |
Late Lodgement fee |
|
Not more than 30 days |
$50 |
|
31 – 60 days |
$75 |
|
61 – 90 days |
$100 |
|
91 – 180 days |
$150 |
|
181 – 365 days |
$200 |
|
366 – 730 days |
$250 |
|
731 – 1095 days |
$300 |
| More than 1096 days |
$350 |
